Auto Insurance Teen
auto insurance for teen questions?
okay so for my 17th birthday (when i get my G2) i want to buy my own car. I’ve done a few quotes and found Im going to be paying practically 10k per year…more than the cost of the car! however, if i was female it would be like 4k. would it work if i had the car registered in my girlfriends name and the insurance in her name, but i paid and i always drove it. if i was pulled over i’d just say Im boring my girlfriends car? is that legal?
i meant borrowing…not boring
thanks everyone.
would insurance rates be any cheaper if it was under my dads name and i was a secondary driver? (even though i’d probably be the only driver). also, i will look into courses and student discounts.
also i live in toronto ontario, canada.
Answer from a General Insurance Agent
No, it would not be legal. Failure to disclose a known driver is Insurance Fraud and a Felony in every state carrying a penalty of up to 20 years in prison.
Should the fraud be discovered any of the following can happen.
1. Cancellation of the insurance policy retroactively, meaning a denial of coverage even if they don’t find out until after an accident. An insurer is not required to pay claims or damages that are the result of insurance fraud.
2. Increase your premium and demand that you pay the increased rate retroactively to the inception of the policy. Failure to pay can ruin your credit as well as any co-signers preventing you and them from financing a replacement vehicle.
3. Felony fraud charges could be filed against you and any one who was complicit in the fraud. i.e. your g/f
4. The finance company finding that you have fraudulent insurance coverage can repossess the vehicle and demand payment for all costs they incur.
5. Revocation or suspension of your driver’s license
6. If stopped by a Law enforcement officer and he realizes what you have done, he can have your vehicle towed and impounded, confiscate your driver’s license and even arrest you if he so chooses. not to mention thousands of dollars worth of associated fines in the form of tickets, attorneys, bail bonds and court costs.
Believe me this is not the end of it.
The way to “legally” get your insurance rates down is by taking an approved drivers training or education course and by asking for any good student discounts available from your insurer if you have a at least usually, a “B” average.
You can also consider getting a vehicle with a lower ISO risk number assigned. This would also help you get a lower insurance rate.
Another option if you still live at home would be to have yourself and the vehicle added to a parents policy, This would generally get you a better rate also as the premium is then calculated as a risk spread for all drivers and vehicles on the policy.
Another way to reduce the premium slightly would be, If you can afford it, Is to take a higher deductible on your Comprehensive and Collision portion say 1,000 or even a 2,000 dollar deductible. This is advisable only if you can afford it though in the event you have a loss.
Also it is a good idea to shop your rate around and see who will offer you the best rate.
Although no one thing mentioned above will in itself greatly reduce the premium,, If you can implement several of them then you should see a significant savings
If you can’t afford the insurance, then you can’t afford the car. It’s as simple as that.
Good Luck and Happy Motoring
Melbourne Florida Auto Insurance – Teen Drivers Contract
