Car Insurance with Kids
Getting Car Insurance with Kids: A Guide
Deciding what to do with your insurance policy when you have kids seems simple but can get complicated. Let’s explore the ins and outs of car insurance with kids, including the best companies for kids.
Adding kids to your car insurance policy: is it required?
It depends on your state and your car insurance company. If your child has a driver's license and uses your vehicle, they should be added to the insurance policy. If they have a learner's permit, they may not need to be listed on the policy. Most states extend policy coverage to a young driver with a learner’s permit. This may vary based on the age of the driver and your location. Check your policy documentation for verification.
If your insurance company requires you to list your son or daughter on your policy but they won’t be using one of your vehicles, you can list them as an "excluded driver" within most car insurance policies. An excluded driver is someone in a household that isn’t allowed to use the insured vehicle. The benefit of designating a child as an excluded driver is the avoidance of the expensive premiums that come with insuring a young driver. See the table below for typical monthly and annual rates for young drivers aged 16 through 19.
| Gender | Avg. Monthly Premium | Avg. Annual Premium |
|---|---|---|
| Male | $445 | $5,340 |
| Female | $395 | $4,738 |
Car insurance companies strive to understand the risks they face. They want anyone with a driver's license to be listed on the policy, even if they won't drive the listed vehicle often.
If you want your child to use your vehicle and carry adequate coverage in the event they're involved in an accident, add them to your policy. Most car insurance companies require anyone who uses the vehicle more than 12 times a year — this may vary by insurance policy — to be added as a covered driver.
Dynamic auto insurance data methodology
Methodology: The auto insurance rates displayed above and throughout this page are dynamic, meaning the data will refresh when the most recent information is made available. Rates are based on a sample driver profile — a 30-year-old single male driver with a Honda Accord and full coverage. This profile was adjusted based on common pricing factors used by major car insurance companies, like age, coverage level, driving record and others.
Should your child have their own car insurance policy?
Getting car insurance for your teen driver will likely be expensive. Insurance companies see young drivers as risk-takers behind the wheel, assessing higher premiums to cover that perceived risk. If you’re worried about the price or having your teen driver’s claims on your insurance record, you might consider getting them their own policy. Unfortunately, affordable teen car insurance policies can be hard to come by.
Insurance companies don’t like to issue two policies to a single listed residence. The easiest way to go about securing two car insurance policies for one household is to speak with an insurance agent, as regulations will be company-specific.
When should you remove your child from your car insurance policy?
There isn’t a set age at which a child must be removed from their parents' insurance policy. Purchasing car insurance is usually something that occurs alongside another life event. If your son or daughter moves out of the house and drives a vehicle at their new residence regularly, they should acquire their own car insurance policy.
Because car insurance is priced by ZIP code, their full-time residence should be listed on the policy.
What’s the cheapest insurance for teen drivers?
Because car insurance is priced on an individual level, this is a difficult question to answer. However, we created a profile and surveyed some top insurance companies to see which one was the cheapest for teenage drivers.
See below for the cheapest car insurance companies for a 17-year-old driver.
| Company | Avg. Annual Premium |
|---|---|
| USAA | $3,973 |
| GEICO | $4,361 |
| Nationwide | $5,125 |
| State Farm | $5,323 |
| Farmers | $7,435 |
| Allstate | $7,737 |
| Progressive | $8,250 |
The above data reflects a general profile (methodology) and won’t necessarily fit you. Use it as a jumping-off point and begin your search with USAA or GEICO, but don’t end it there. Comparing real car insurance quotes based on your unique driving profile every six months is the best way to make sure you find a cheap rate.
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Car insurance for kids: FAQ and resources
Below are some frequently asked questions regarding car insurance and kids.
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About The Zebra
The Zebra is not an insurance company. We publish data-backed, expert-reviewed resources to help consumers make more informed insurance decisions.
- The Zebra’s insurance content is written and reviewed for accuracy by licensed insurance agents.
- The Zebra’s insurance content is not subject to review or alteration by insurance companies or partners.
- The Zebra’s editorial team operates independently of the company’s partnerships and commercialization interests, publishing unbiased information for consumer benefit.
- The auto insurance rates published on The Zebra’s pages are based on a comprehensive analysis of car insurance pricing data, evaluating more than 83 million insurance rates from across the United States.