Adding a teenage driver to your car insurance policy means paying high premiums. Many parents think about getting a separate teenage insurance policy but if your child’s age is below the consent requirement, you can’t shop for a separate policy for them. In that case, parents plan to oversight and think about what happens if I don’t add my teenager to my car insurance policy. Well, if the same question is tapping into your mind, then it’s time to discover all the consequences.

What happens if I don’t add my teenager to my car insurance? Explained!

Here is what will happen:

Legal Action and Penalties

It’s common practice in households that a teenage driver takes their dad’s car and drops his friend at his place. And in most jurisdictions, you are legally required to add teenagers to your insurance policy. But when you don’t do it and an uninsured teen driver causes an accident, then you basically break the law.

Even when it’s not required by law to add your teenager to your insurance policy and he caused an accident, you will be held responsible. In that case, you can expect legal action, penalties and fines. It may cause your license suspension as well, although the accident isn’t your fault.

Coverage Denial

When a teenager isn’t listed in your insurance policy and he caused an accident or personal injury, you can’t file a claim. Even when you file this claim, the insurance company will deny the coverage on the ground that an uninsured driver caused this accident.

What does it mean? In that case, you will be financially responsible for providing coverage for other drivers’ car repair, and maintenance. You may also have to pay medical expenses when your teen’s rash driving causes personal injury to other drivers or passengers.

Risk of Rate Increase

When you get a car insurance policy, you need to disclose information about all the family members who have access to your vehicle. Let’s say you don’t list your teenager on the insurance policy and later the company finds out that the teen caused this accident, then it will increase the risk of rate for your policy. In other words, you will have to face financial consequences for this undisclosed driver.
Insurance companies give you a rate based on all the information you disclose. However, when you withhold some information about your teenager and his driving habits, you hide some essential facts. Later when this driving habit caused an accident and the insurance company finds out, you will lose their trust.

Personal Liability

When you own a car and a teenager causes the accident then you will be held responsible for this damage. No matter whose fault this is, you will face financial responsibility. When you don’t add teens to your policy, you break the law and expose yourself to potential lawsuits, especially where injured parties are seeking compensation.

Wrap up

Finally, you know what happens if you don’t add your teenager to an insurance policy. Although it’s not a legal requirement, you must disclose teen details in your insurance policy. When you remain honest with your insurer, you won’t have to face financial burdens, which otherwise will automatically land on your shoulders. It’s advisable to add a teen to your insurance policy and pay a regular premium. This covered policy will give you peace of mind regardless of who is driving your insured car. But when you fail to add a teen to your insurance policy, it will lead to denied coverage and legal consequences. Contact Matrix-Insurance at (706) 310-0000 to secure coverage today.