I just bought a new car for my daughter, but she had an accident with it before it was added to my current policy.
I just bought a car for my adult daughter who lives with me. We got the car on the 28th of June and she had an accident on the 6th of July. She is not on my insurance as a driver. I currently have full coverage (collision and comprehensive) on another vehicle that I drive. Is she covered under my insurance? Also, is the new car covered by insurance by a "grace period" since I have not called my insurance to have it added?
Thanks for your question. This can be tricky. Many policies have a permissive use clause in their policies. This would cover an infrequent user of the vehicle. However, permissive users typically cannot be related to you or live in your residence. In this case, it isn't likely that your insurance company would cover her for the damage if they know she has driven the vehicle for the accident on July 6th. If she's going to be driving your current or new vehicle, add her to your policy immediately. As for your second question, many companies do have a grace period of two weeks for any newly acquired vehicle. Again, I would add it immediately to avoid any difficulties. Best of luck, and please ask if any other questions arise.