When do kids need their own auto policies?
Unlike health insurance, which has an age cap of 26, there is no age cap for auto insurance. This means that children can remain covered under their parents’ car insurance policy for as long as they want—so long as they meet certain criteria. Here’s what you need to know about insuring your children on your auto policy.
- Residency Requirements
Where your child lives is the most important factor for auto insurance companies. Usually, car insurers will allow parents and children to remain on the same policy as long as they all reside at the same address. This means that many insurance companies will let children stay on their parents’ policy as long as they still live at home.
- Residency Exceptions
The residency rule does not apply to children of divorced parents. If the parents are living separately, then the child can remain on one parent’s policy, even if they are only living with them part-time. The other exception to the residency requirement is college students. If your child is moving away to attend college, then in most cases, they can still be covered under your auto insurance policy. This is because they likely still live at home for a portion of the year and still consider their parents’ home their primary address.
- Losing Coverage
There are several conditions that can make a child ineligible for auto insurance coverage under their parents’ policy. For instance, if the child moves out, achieves financial independence (this definition differs depending on the insurer), buys their own home, or gets married, then they are no longer eligible for auto coverage through their parents.
This is what you need to know about children being covered under their parents’ auto insurance policy. Do you need help securing your own car insurance? If so, then contact the experts at Gant Insurance Agency. Our dedicated team is eager to assist you with all your coverage needs today.