Clarification on vehicle insurance

Can someone in the know, explain this to me. My wife and I pay insurance on three vehicles. When the boy started driving, he was attatched to the cheapest vehicle for lower rates. My question is this. If he is driving my vehicle and gets in an accident, it’s insured under my policy. Why does HE have to be attatched to the vehicle? Hypothetically speaking, what if I had a license, but didn’t own a vehicle and lived downtown or whatever. I borrow a friends car and wreck it. The vehicle is insured under my friends policy so all is good.
What would happen if we never told our insurance company he was driving?If he wrecked the car IT’S STILL INSURED?? What am I missing?

Short answer, all licensed drivers in your household, need to be declared/insured, if they have access to your vehicle. Your agent can explain it in more detail.

What happens if they’re not? Can the insurance company refuse to pay a claim?

…”When the boy started driving, he was attatched to the cheapest vehicle for lower rates”…

Is this vehicle of yours also the cheapest vehicle? The way you describe this scenario, it appears as though the only vehicle that your son is covered to drive in your household is the one with the cheapest rates. If your vehicle has a high dollar value and is under still in a loan, your insurer may be able to deny coverage if he is not specifically insured for that vehicle.

Yeah.. it sucks. Just got a car for my little brother and its my parents third car and they had to put him as the main driver of the car. Its a 2002, fully paid for and they are paying like $1,100 just for liability coverage.

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Can someone in the know, explain this to me. -snip-

What would happen if we never told our insurance company he was driving?If he wrecked the car IT’S STILL INSURED?? What am I missing?

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What you’re missing is that you’ve just described a type of insurance fraud and yes, if you’re not truthful about car/driver usages and/or events that occurred, ins companies can and do deny claims for those reasons. As Big G mentioned, I’d have your agent answer in more detail the questions you’re asking on here.

Most carriers can’t exclude drivers in your household, as long as they are listed on the policy coverage they are covered under all vehicles. The price adjustment is usually for that vehicle to which they are assigned. In some instances and in finely printed disclosures another vehicle in the household can get a youthful driver surcharge. Fact is that teen drivers cause the most accidents. One other way to look at things, if you own a car, but decide not to tell your company, would you expect them to cover you?

And insurance companies can decline a claim for failure to live up to your side of the bargain. It’s also in the fine print of your policy. Inquire about a good student discount, a safer driver course, and anything else.

All vehicles usually have listed a primary driver. If you have 3 vehicles and 3 drivers, I believe they just assume he would be the primary driver of the 3rd vehicle. You either have to list him as a driver or have it declared in your policy that you are covered for any under or uninsured drivers of your vehicle. I know some companies will just increase your rates if you don’t list them as a driver. Best thing is just to have him listed on the cheapest vehicle to insure and tell him to get on the honor roll in school (most companies give good student discounts).

Can you ensure he will have NO access to either of the other cars? If so, talk with your insurance agent about removing him as a potential driver of those cars. I know people who have done that. That also means if he somehow DID drive one of those cars and got in an accident, you are NOT covered.

The reason your son needs to be attached to a vehicle is that it matters which vehicle he is primarily driving.

Let’s set up a little example here. Let’s say your 3 vehicles are a Ferrari, a Masarati, and a clapped out Buick with 700,000 miles on it. Can you guess why it would matter WHICH of the 3 vehicles your 16 year old, inexperienced, male driver was driving the most? Y

es, because obviously there is signifcantly greater risk if he’s driving the Masarati or the Ferrari. Those are going to be VERY expensive to fix and when something goes wrong, there’s a significant chance it will go wrong at a high rate of speed. Thus making a bad situation worse in terms of people and property damage.

So as you can see, it really does matter WHO is driving which vehicle and how much.

It’s a bummer, but it is reality. And anyone trying to game the system is cheating everyone else who has to pay higher rates because of it.

Grouse