If you’re thinking of adding another driver to your car insurance plan, then you may be wondering what information you need to provide in order to do so. This is the topic we are discussing today. Keep reading to learn more about adding a teen to a car insurance policy or adding an occasional driver to a car insurance policy.
Types of drivers listed on auto insurance policies
Let’s begin with an explanation of the two types of drivers listed on auto insurance policies: primary drivers and secondary drivers. This will give you a better idea of primary vs secondary driver insurance:
Primary drivers
Primary drivers or principal operators in car insurance often refer to the main policyholder, i.e. the person who drives the insured vehicle most often. The primary driver is typically the owner and main operator of the vehicle. Therefore, it is their driving history and characteristics that have the biggest impact on the insurance premium. When an insurance agent assesses a primary driver’s risk, they will look at their driving record, claims history, the type of car they drive, their age, and more. All of these factors will influence the premium they pay.
Secondary drivers
On the other hand, secondary drivers in car insurance are usually occasional drivers. They are a person or multiple people who occasionally operate the primary driver’s vehicle but who are not the main drivers. When a secondary driver is listed on a policy, they will be covered by the same types of auto insurance as the primary driver when they are driving the vehicle. Since secondary drivers still operate the vehicle being insured, their driving records and claims histories can still influence the cost of the policy. That said, the factors related to secondary drivers won’t have as much influence as those related to the primary driver.
What if I don’t add a secondary driver to my car insurance policy?
If one or more people regularly drive your car, it is your responsibility to add them to your policy. Oddly, your insurance company requires you to add these drivers to your policy, so if you refuse to do so and your insurer finds out, they could deny your claim or cancel your coverage.
Plus, adding a secondary driver to your policy has so many benefits. When they are added, they will receive the same coverage and protection as you. Thus, you will be protected if anything happens while they are driving, e.g., they get into an accident. This gives primary drivers peace of mind.
When to add a driver to your car insurance plan
There are many situations when adding a second or third driver to your car insurance plan makes the most sense. Not only can insuring everyone under the same policy be more convenient than buying multiple auto insurance policies, but it can also be more cost-effective. Keep reading to learn about a few situations when it might be worth it to add a driver to your auto insurance plan:
You have a teen driver in your household
Rather than buying a separate young drivers insurance policy, you may wish to add your teen driver to your existing car insurance plan. When your child is still learning to drive, significantly if they can only legally drive with a fully licenced driver accompanying them, adding them to your existing policy will likely make the most sense. This allows them to be covered as they learn to drive and become more experienced behind the wheel. Whether your child lives with you full-time or part-time, speak with a broker about adding them as a secondary driver to your car insurance plan once they successfully obtain their first level of driver’s licence.
You have an adult child living with you
Another situation in which adding a secondary driver to your policy might make sense is if you have an adult child living with you. If your adult child resides in your household and does not own their own car but often drives yours, they should be listed as a driver on your policy. This way, you can ensure that your child is always covered, whether they are driving your car to work, post-secondary school, or a social gathering with their friends.
One of your parents is living with you
Alternatively, if one of your parents lives with you, you may wish to add them to your car insurance plan. Again, so long as the parents who reside in your household do not own a vehicle of their own, they can be added to your policy. Even if they only drive your car a couple of times per week, adding them to your policy will ensure they are covered should something go wrong while they are behind the wheel.
Someone else lives in your home and borrows your car
In essence, if there is anyone else with a valid driver’s licence who does not own a car and who lives with you, you might be able to add them to your policy. This may include a sibling, cousin, or roommate.
An employee uses your car for business purposes
If an employee often uses your car for business purposes, you must add them as a secondary driver. This could include a nanny, personal care worker, or someone who works for a business you operate. In this case, you must also add commercial auto insurance coverage to your plan.
When you don't need to add someone to your car insurance
Although there are many circumstances in which you should add an extra driver to your car insurance plan, there are certain situations where doing so doesn’t make sense or wouldn’t be possible.
For example, if you have a friend or neighbour who rarely borrows your car, e.g. to run an errand once a month, then you likely do not need to add them to your policy. Similarly, suppose a friend or family member is temporarily visiting you from out of town and will be borrowing your car a few times over the course of a week or two. In that case, you also probably do not need to add them as a secondary driver to your policy.
In this case, they would be protected under the permissive user clause in your car insurance plan. During these times, in the event something happened to your vehicle, your insurance policy would be the one that would respond to cover the damages.
Further, if a person that you want to add as a secondary driver owns a car of their own, you will not be able to add them to your policy. The same goes if they do not live under the same roof as you. Please note that there might be some exceptions to this, such as if your adult child is only temporarily living away from home for college.
How to add a driver to an auto insurance policy
Are you ready to add a driver to your car insurance plan? Continue reading for a list of information that you will need to provide about each driver:
- Legal name
- Date of birth
- Gender
- Driver’s licence number
- The date they obtained their licence, include the date they obtained each level of licence for a graduated licence system
- Insurance claims history
- Insurance history
- Driving records
The cost of adding a secondary driver to your car insurance policy
Many people wonder how adding a secondary driver to their car insurance policy will impact their premiums. The reality is that it will increase your rates, but you can learn more about this below:
Does an insurance company charge extra to add a driver to a car insurance policy?
In short? Yes. Adding a secondary driver to your car insurance plan will increase your rates. Since your insurance coverage is now extended to multiple drivers, your rates will rise. That said, how much it goes up will depend on the driver you add to your policy. The secondary driver’s age, claims history, gender, and driving record will all impact how much it costs to add them to your plan. That is why we recommend checking your driving record and the record of any secondary drivers before adding them to your policy.
That said, even though adding a driver can cause your insurance premium to rise, it might still cost you less than if you were to purchase a separate policy for that person. In addition, it would certainly cost you less than if you failed to add the driver to your policy, they got into an accident, and you were forced to pay for the cost of damages out of your own pocket.
To receive a free car insurance quote that includes one or more secondary drivers, contact BrokerLink today.
Reach out to BrokerLink to learn more about adding a secondary driver to your policy
For more information on adding a secondary driver to your policy, including how much that will cost and when you might be required to do so, contact BrokerLink today. We can provide you with a free car insurance quote and explain the consequences of not adding another driver to your policy. In addition, we can explain how secondary driver insurance works. Please note that secondary drivers are usually covered by all coverages included in your policy, such as:
Further, as a car insurance brokerage, we can explain important industry terms, like secondary driver or additional insured vs. named insured. Get in touch today to learn more about primary vs. secondary car insurance and request your free auto insurance quote.
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