Best Car Insurance for Unmarried Couples

What is car insurance for unmarried couples?

Although you might not realize it, being in a serious (but unmarried) relationship can have certain insurance implications. Cohabitation often creates a situation in which the sharing of vehicles occurs. Car insurance for unmarried couples comes down to one question: should you or should you not share a policy? Let's find out.

When is it better to keep your policies together?

When it's required by your insurance company:

If you’re living with your boyfriend or girlfriend, or even if they use your vehicle frequently (defined as more than 12 times a year), you should consider sharing your policy with them. Most insurance companies will require anyone living in your residence to either be added to your policy as a listed driver or be excluded altogether. If they are excluded from the policy, they should not be using your vehicle, as it's likely they wouldn’t receive coverage in the event of an accident.

When you can get a discount:

By adding another driver — and, most likely, their vehicle — to your policy you can expect a multi-vehicle/multi-line discount. This discount will be especially important if you’re bundling your home/auto or auto/renters with the same company.

When is it better to keep your policies separate?

When you aren't living together or do not use each other's vehicles often:

Because your car insurance covers people who use your vehicle with your permission and don’t use it particularly often, they would receive coverage in the event of an accident.

If you or your partner has a bad driving record:

If your partner has a bad driving record, it might make sense to keep them off your policy. Keeping them off your car insurance policy would ensure you are not financially penalized for their driving mistakes.

If you or your partner has a poor credit score:

Most insurance companies and most states use your credit score as a determining factor for your premium. Just like having a poor driving record, having a low credit score can negatively impact your premium significantly.

If you or your partner drives an expensive car:

If you drive a Toyota Corolla but your significant other drives a Lamborghini, you should expect a significant difference in your premiums. Your insurance company has to soften the risk of covering such a high-value car by charging expensive premiums. If you’re worried about footing the bill for their fancy car, sharing a policy might not be a great idea.

Should unmarried couples share car insurance?

The decision to merge auto insurance policies with your partner is up to the both of you. Still, if your partner uses your vehicle regularly and you cohabitate, consider sharing your policy to avoid headaches with your insurance company. You can view estimates for combined auto insurance policies below.