Insurance for 16 y/o drivers...

[Outnumbered]

Any good strategies to keep rates low and my record clean if the kid gets a ticket or crashes? :bash:

I talked to my agent and got a little info but I'm looking for an unbiased opinion.

Not looking to scam the insurance company but thinking of a good strategy like maybe setting up an LLC or something to isolate myself from the potential rate fucking that I would get on all of my insured shit if something were to happen.

Any tips or ideas?

Thanks :thumbsup

 

[Riverbottom]

If you figure this out please let me know. We have 14 different policies and a 17 year old driver in the family.

 

[Outnumbered]

If you figure this out please let me know. We have 14 different policies and a 17 year old driver in the family.

14 policies?

 

[Ziggy]

The LLC insulates you just somewhat if its a true negligent accident where they are found to be at fault.

Best thing is to not let him/her drive if you really think they will just get tickets and in wrecks. Otherwise you have to deal with the same as all of us and cross some fingers.
Good grades will help the rate, btw.

 

[Joker]

Our 16 year old drives under our policy. The ins co said do not get a separate policy for her.

 

[ONE-A-DAY]

My son is primary on our POS jeep, which we only carry liability on, and then just a part time driver on our other vehicles.........makes a huge difference

 

[Cole Trickle]

Its cheaper to have them on your policy so they can take advantage of your discounts (Home,Multi car,renewal,etc...)

Good student discount is huge

Buy them a older car that you can just carry liability on. If thats not an option find something a couple years older thats good to insure...Conservative (You can almost guarantee anything they love will be big $$$ to insure)

Setting up a LLC won't stop you from being liable and has zero to do with how companies charge rates. If the kid has a bad record your going to pay or get dropped.

You can exclude them from driving at any time and there record will no longer effect your rate.

 

[PolarBearKing]

Pm Bababouy, I'm sure he'll give you a good butt raping and make you enjoy it....he has a way with words.

 

[drew_built]

like posted above good grades help i had state farm and i know every so often they offer a sit down class with one of there agents answer acouple questions watch a video and get a huge discount :thumbsup

 

[scouter]

My son is primary on our POS jeep, which we only carry liability on, and then just a part time driver on our other vehicles.........makes a huge difference

We did the same thing. Made our daughter primary on one of our Scouts (actually at a suggestion of the insurance company).

 

[HALLETT BOY]

Simple ...make them wait until they are 18 to drive . I've seen very few 16 yo's mature enough to drive without crashing .

 

[TPC]

Same take here.
Good grades,, and cut down their driving as much as possible until they hit 18.

 

[The Ultimatum]

Had one accident when I was 16, and it happened within 4 HOURS of having my license. I own up to it when I'm in the wrong but on this one I swear it was the other guy He backed into me while I was stopped

 

[Yellowboat]

just a FYI, your policy, your still liable, so I'd highly recomend having a larger $ ammount then the state min. Besides thats normally very cheap.

 

[Joker]

Simple ...make them wait until they are 18 to drive . I've seen very few 16 yo's mature enough to drive without crashing .

No can do. The kid goes to OCHSA in Santa Ana and it's the only way she's getting there. We don't have the time to drive her there for an 8:00 start and then to go back at 5:30 for pick up. Double the gas as well.

 

[Outnumbered]

Thanks for all the input. And to address some comments:

If I did not trust her, I would not let her drive but the facts don't lie. If you are new at anything, you are more likely to make a mistake. Plus, having spent some time at her school for various events and such I see how aggressive these teen boys drive and how unattentive/distracted the girls are. I've almost been hit in the parking lot more than once. Get around a bunch of rookie drivers and your odds get worse.

I can't make the kid wait til she's 18. She will graduate when she is 17 and she already has a job lined up for this summer. She needs a car.

My agent told me some of the same stuff, good grades, get her a beater and put it in her name or make her primary driver, etc.

I'm mostly concerned with this secret insurance history data base thing that the companies keep (not sure what it is called). It is kind of like a TRW/Equifax for your insurance claim history. I know that they keep and share records of past claims and use it against you when they quote your rates. Based on Cole Trickle's comments, it sounds like I can disassociate her from my record at any time if I choose to. Is this true of all insurance companies?

 

[Cole Trickle]

Thanks for all the input. And to address some comments:

If I did not trust her, I would not let her drive but the facts don't lie. If you are new at anything, you are more likely to make a mistake. Plus, having spent some time at her school for various events and such I see how aggressive these teen boys drive and how unattentive/distracted the girls are. I've almost been hit in the parking lot more than once. Get around a bunch of rookie drivers and your odds get worse.

I can't make the kid wait til she's 18. She will graduate when she is 17 and she already has a job lined up for this summer. She needs a car.

My agent told me some of the same stuff, good grades, get her a beater and put it in her name or make her primary driver, etc.

I'm mostly concerned with this secret insurance history data base thing that the companies keep (not sure what it is called). It is kind of like a TRW/Equifax for your insurance claim history. I know that they keep and share records of past claims and use it against you when they quote your rates. Based on Cole Trickle's comments, it sounds like I can disassociate her from my record at any time if I choose to. Is this true of all insurance companies?

Your reffering to the Clue report....

Its not really a secret thing but it does let insurance companies know when checks exchange hands and who was at fault. The DMV dosent always get it right so its just another way to accuratly charge the bad drivers more.

If someone hits your daughter than she won't be pennalized. ( there are kind of exceptions)

I get to deal with the my kid is the best driver in the world thing a ton... We had a young girl 19 y/o that had been involved in 7 accidents within 2.5 years of driving. She had one chargeable accident (rearended other party) and 5 where people either hit her,backed into her,side swipped her,etc.. We warned the mom that the insurance company was concerned that there were bad habbits forming and she either wasn't paying attention or wasn't very deffensive while on the road. Mom started once again how the daugghter was unlucky and a great driver.....2 weeks later she plowed a new benz stopped at a light while texting.

Sorry lady your non renewed.

If I could get rid of 5 families in my book of business we would have made probably 300K more in contingency bonuses over the last 5 years. One family has totaled 4 cars and caused nearly 500K worth of injuries in the last 3 years.......scary

 

[Outnumbered]

Your reffering to the Clue report....

Its not really a secret thing but it does let insurance companies know when checks exchange hands and who was at fault. The DMV dosent always get it right so its just another way to accuratly charge the bad drivers more.

If someone hits your daughter than she won't be pennalized. ( there are kind of exceptions)

I get to deal with the my kid is the best driver in the world thing a ton... We had a young girl 19 y/o that had been involved in 7 accidents within 2.5 years of driving. She had one chargeable accident (rearended other party) and 5 where people either hit her,backed into her,side swipped her,etc.. We warned the mom that the insurance company was concerned that there were bad habbits forming and she either wasn't paying attention or wasn't very deffensive while on the road. Mom started once again how the daugghter was unlucky and a great driver.....2 weeks later she plowed a new benz stopped at a light while texting.

Sorry lady your non renewed.

If I could get rid of 5 families in my book of business we would have made probably 300K more in contingency bonuses over the last 5 years. One family has totaled 4 cars and caused nearly 500K worth of injuries in the last 3 years.......scary

Thanks for the info

 

[andybean]

I'm new to the teen driving thing. My 16 year old backed into another car 9 months into his license. I wrote a $2500 check to the local body shop for the damage to the other car and was able to skip the insurance/police report etc.

My son is a great kid, but guarantee thats not his last accident before age 18.

I'm all for extending the driving age to 18. Boys have the machismo and the girls are not attentive. Both recipes for disaster.

Having a drivers license is an entry point. Most parents turn them loose once they get their license.

 

[scouter]

Scout, boy your a heavy hitter that's a least 40 years old; not safe for the beautiful young thing to drive.

Ha Ha, she begs me to drive it all the time, but I won't let her (unless we're off road).

She had a normal car through high school. She's in college now and currently carless.

 

[Hugh Jascaulk]

If you have as many cars as drivers in the household, you will need to assign 1 car to them as their primary. A low cost vehicle that you carry on liabilty on is best. They will be insured to drive any car in the household.

Another aspect of insurance that I didn't think about when my daughter got her license was my Umbrella policy. The cost doubled since I now had another licensed driver in the household.

 

[ConcreteDr]

My ins co said because of good grades they could take a online coarse and it will save us 10% first year and more next if no issues
Welcome to the club amigo
All my kids ( 3 ) driving learned in a pre runner and they all are safe drivers and no issues thank god

Good luck

 

[just_floatin]

Check out the steer clear program with State Farm. We have this policy on our female 18 year old driver. She's been driving since she was 16. May be worth exploring.

http://www.statefarm.com/insurance/auto_insurance/ins_auto_discounts.asp

 

[Robyn]

Check out the steer clear program with State Farm. We have this policy on our female 18 year old driver. She's been driving since she was 16. May be worth exploring.

http://www.statefarm.com/insurance/auto_insurance/ins_auto_discounts.asp

my son did this program it wasnt that difficult and we put him an older 4runner as his primary and his portion is not out of line for a teen :blah:

 

[loydholman]

You may want to consider getting a separate insurance policy for her. That way any accidents she has will only affect her own insurance rates and records. It might not even be as expensive as you imagine; many car insurance companies offer discounts for taking a defensive driver?s credit, for being a good student, for installing air bags and antitheft devices, etc.

 

[Outnumbered]

OK, talked to Allstate in detail about my options today. They suggested upgrading to their Platinum policy with unlimited accident protection and adding her to our policy. I can get her full coverage for $200 per month or liability only for $148. With this policy my rates are locked even if she has an accident. Any experts have an opinion on this?

On her own was like $194mo liability only or $348mo full coverage:grumble

This is going to hurt no matter how we do it:cry:

 

[Cole Trickle]

OK, talked to Allstate in detail about my options today. They suggested upgrading to their Platinum policy with unlimited accident protection and adding her to our policy. I can get her full coverage for $200 per month or liability only for $148. With this policy my rates are locked even if she has an accident. Any experts have an opinion on this?

On her own was like $194mo liability only or $348mo full coverage:grumble

This is going to hurt no matter how we do it:cry:

What was the cost to leave it as is?

What kind of car?

Accident forgivness is a gimick that you pay for. I wouldn't pay extra up front personally. I would tell my daughter accidents happen and if you have 2 within a 3 year period your on your own. You can go to traffic school every 18 months for tickets. (I would never have my kid on my account if they crasshed 2x and had 2 tickets in a 3 year period)

 

[Outnumbered]

What was the cost to leave it as is?

What kind of car?

Accident forgivness is a gimick that you pay for. I wouldn't pay extra up front personally. I would tell my daughter accidents happen and if you have 2 within a 3 year period your on your own. You can go to traffic school every 18 months for tickets. (I would never have my kid on my account if they crasshed 2x and had 2 tickets in a 3 year period)

Leave it as-is??? She's not on it yet. She does not drive yet. I don't plan on her crashing but I don't want to get screwed for a 3 year rate hike if she does.

 

[Outnumbered]

If what you mean is to add her without the Platinum upgrade deal it would be about $25 per month less. So basically, I'm spending $25 to lock my rate in the event she screws up.

 

[Cole Trickle]

Leave it as-is??? She's not on it yet. She does not drive yet. I don't plan on her crashing but I don't want to get screwed for a 3 year rate hike if she does.

Don't upgrade to a special plan just for accident forgiveness (its not offered and illegal in cA) unless you think she is going to crash

If the car is worth less than say 3K I would do liability only

Personally I think the liability rate is pretty high.....Adding comp and collision usually adds alot more than the difference you posted.

 

[Cole Trickle]

If what you mean is to add her without the Platinum upgrade deal it would be about $25 per month less. So basically, I'm spending $25 to lock my rate in the event she screws up.

Your paying $300 a year to lock in a rate that would be effected by probably $450-500 over a 3 year period (wprse if she has multiples) if she was in an accident. Its a suckers bet unless you know she is going to crash....If she is going to crash please spend more time teaching her to drive...lol

 

[Outnumbered]

I see your logic but I figured the raised premiums would be much higher if she crashed. I don't know, I just hate insurance companies. I'm just paranoid I guess. I hope she does not crash. I started teaching her to drive when she was 14 so she does pretty well.

As far as rates, they are ridiculous here. My insurance was cheaper when I lived in SoCal. Phoenix is crazy high. Too many illegals steeling cars

 

[flatnutz110]

will they cover trophy karts?:champagne: