Auto Insurance Forum

My daughter is 18 and a full-time college student. Even though she spends most of her time at school, her permanent address is my home. Do I need to add her to my auto insurance policy, or should she get her own policy?

Gregory, Arizona

Dear Gregory,

The answer depends on who owns the car she is driving. If you own it, your daughter should be listed as an additional driver on your policy. If your daughter takes the family car off to college, even out of state, she'll generally be able to remain on your policy.

However, you must notify your insurer that the car will be garaged at another location. That could alter your premium, forcing it either up or down. Failure to reveal such a change can jeopardize your next claim.

If your daughter owns the car, she'll have to get her own individual auto policy. While your rates might drop dramatically if you take your daughter off your policy, she's likely to face high premiums when she's on her own and part of a higher-risk group of drivers. For tips on reducing premiums, read Auto insurance for 20-somethings: Saving dollars and making sense.

For more on insurance for college students, read Ensuring proper insurance coverage for college-bound children.

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