Car insurance for teenagers in Michigan is required whether they are driving with a learner’s permit or a driver’s license. Teenagers in Michigan who operate their own vehicle are considered the “named insured.” They’ll probably be included as a “named driver” on their parents’ auto insurance policy if they drive their parents’ vehicle.
Teenage drivers who hold a learner’s permit or who have just received their driver’s license are not eligible for “special” auto insurance. When choosing car insurance for teenagers in Michigan, there are numerous significant factors to take into account.
When parents’ teenagers reach the legal driving age and begin with their graduated drivers license, whether that means getting their learner’s permit or their driver’s license, I always advise them to first check with their insurance agent to see what specific rules your particular insurance company may have.
Importantly, you should have a written confirmation of what your insurance representative tells you. Never depend exclusively on your insurance agent’s verbal statements. If possible, ask your agent to send you an email confirming your policy’s coverage and outlining any special coverage needs for your young driver. The majority of car insurance companies don’t require a teen driver with a learner’s permit to have auto insurance coverage in his or her name (in fact, I haven’t seen one), but that doesn’t mean that one or more of the 81 car insurance companies in this state that do at least $1 million in annual business don’t have their own distinct and exclusive contractual provisions on how you should be adding your teen to your auto insurance. While I like to think that in my nearly 30 years as a lawyer for people injured in car accidents, I have probably sued almost every insurance company in Michigan at some point, I can assure you that I have not read all 281 of the insurance policies available to determine each insurer’s unique requirements for teen car insurance. Each year, another 150-200 car insurance companies are certified to operate in Michigan.
Your best course of action is to always confirm – in writing – with your own insurance company that your teenager will be covered under your existing car insurance policy. This is because each insurance policy is a contract, and each policy may have different and occasionally unique contractual requirements on how to add your teenagers to your car insurance in Michigan.
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Is car insurance for teenagers required?
Teenagers and all other drivers who operate their own motor vehicles on Michigan roads are required by law to carry car insurance. (MCL 500.3101(1)).
Is there a special kind of car insurance for teenagers?
In Michigan, there is no specific type of car insurance for teenagers. This is accurate regardless of whether they have a full license or are driving with a learner’s permit. If a kid is operating his or her own car or truck, just like adult drivers, then a valid Michigan Always keep your no-fault auto insurance policy.
Car insurance for teenagers who are driving their own cars
Teenagers in Michigan are required by law to carry current No-Fault auto insurance coverage at all times when operating their own vehicles (i.e., vehicles for which they are the titled owner or will be deemed a “constructive owner” of the vehicle based on how frequently they are driving that vehicle). This covers liability, property damage, and property protection insurance as well as No-Fault PIP. (MCL 500.3101(1)) They will be the “named insured” on the policy because it is their vehicle.
Car insurance for teenagers who are driving their parents’ cars
Teenage drivers are not required by law to keep No-Fault auto insurance on their parents’ cars unless they meet the requirements to be considered “constructive owners” of those cars. A person who has “the use of a motor vehicle for a period that is greater than 30 days” is referred to as a “constructive owner.” (MCL 500.3101(3)(l)(i) (i)
What should I do about car insurance for my teenage driver?
Once your teen is old enough to drive, gets a learner’s permit, or gets a license, let your auto insurance company know. You might also need to add your kid as a “named driver” on your policy for the vehicles he or she will be operating, depending on the situation and your insurer.
The status of the insured’s household members’ driver’s licenses or learner’s permits, the number of people living there who are of legal driving age, and the number of people who regularly use one or more of the vehicles covered by the policy are all things that many auto insurance companies today ask their insureds to report changes to.
Start by reading the sections of your auto insurance policy with headings like “Changes,” “Duty to Report Changes,” and “Premiums” to learn more about your responsibilities under the contract.
Do I have to add my teenager to my car insurance in Michigan?
Many insurance providers in Michigan do not insist that you add your kid as a “named driver” to your policy, but you should make sure to have written confirmation from your own insurance provider. Many insurers may not require you to add teenagers to your auto insurance policy, but they may need notice that you have a teen who is old enough to drive or who has begun doing so thanks to Michigan’s graduated licensing system, that teen lives with you, and that teen will be operating one of your vehicles. Check your insurance policy and speak with your insurance provider to learn exactly what your own company might need of you.
Do I need to add my child to my car insurance with a permit?
You might need to list your teenage child as a “named driver” on your auto insurance policy if they are a teen driver with a learner’s permit. It will depend on your personal auto insurance provider, as well as the precise conditions and legal obligations of your auto insurance policy. These legal specifications can differ greatly between insurance firms.
When do I have to add my teenager to my car insurance?
In Michigan, your auto insurance provider and the specifics of your policy will determine whether and when you need to add your teenagers to your auto insurance coverage. Check your policy’s clauses pertaining to “Changes,” “Duty to Report Changes,” and/or “Premiums” first. This will assist you in determining what to do and when.
What happens if I don’t add my teenager to my car insurance?
In Michigan, if your auto insurance provider asks you to add your adolescent driver or drivers as a “named driver” to your auto insurance policy but you don’t, your entire coverage could be void. If that occurs, your insurer will not be required by law to offer any benefits or liability protection in the event of a collision.
The largest oversight parents make when letting their children drive is failing to designate them as “named drivers” on their auto insurance policies, in my experience as an accident attorney. For all the reasons I listed above, this is extremely risky.
There may be dire repercussions if your teen operates a vehicle that is ordinarily his or hers and causes (or is hurt in) a significant auto accident while doing so, but is not mentioned as a “named driver” on the policy. Your motor insurance provider can declare you guilty of insurance fraud, invalidate your contract, and remove all benefits and coverage to which you would have otherwise been lawfully entitled.
The repercussions could include your insurer declining to cover your child’s medical expenses and preventing your child from suing an at-fault driver (the person who actually causes the car accident that results in your child’s injuries), even if your teen was wholly innocent and suffered serious injuries.
Will my insurance company increase my rates if I tell them about my teenage driver?
Once you tell your agent about your adolescent driver and that he or she has started driving in Michigan, it is highly likely that your auto insurance company will increase your car insurance premium rates at some point. However, as I’ve stated above, the alternative is running the danger of having your policy revoked, which would have considerably more severe and expensive repercussions.
Most vehicle insurance contracts that ask for information concerning the learner’s permit, driver’s license, etc. status of the insured’s adolescents make it explicit that the information will probably lead to a “premium adjustment.”
My greatest recommendation is to compare prices and hire an independent insurance agent who can obtain quotes from other providers. Comparison shopping is effective, particularly when purchasing young driver’s insurance.
Does a permit driver need insurance?
Every motorist in Michigan, whether they have a learner’s permit or a valid driver’s license issued by the Secretary of State, is required to carry at least current and valid No-Fault vehicle insurance coverage on their own automobile or truck. However, insurance from parents or the titled owner is typically sufficient. Teenagers with learner’s permits are not required to have any particular type of auto insurance.
Can you get car insurance with a permit?
Teenagers and even adults who are learning to drive later in life should be aware that it is unlikely they would be able to obtain auto insurance in Michigan with just a learner’s permit. Auto insurance providers typically won’t offer coverage to anyone without a driver’s license.
According to Michigan law, if a person owns a car registered (or required to be registered) in Michigan or has a valid Michigan driver’s license, they are “qualified” for No-Fault auto insurance. (MCL 500.2103(1)) However, to register a vehicle in Michigan, you must have a driver’s license (as well as evidence of insurance).
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