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Car Insurance Issues Young Driver Single Dad

Discussion in 'The Okie Corral' started by Jon_R, Mar 7, 2012.

  1. Jon_R

    Jon_R

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    I am trying to figure out how to keep my car insurance not insane. Any thoughts or advice is welcome.

    Current Situation:
    Two vehicles both mine
    2003 F-150 Me 14MPG
    2011 Honda Civic Her 34MPG

    Two Drivers
    Me 37 Yr old Male completely clean driving record last ticket ~18 years ago. Never had an accident I was at fault.
    Daughter 16. New driver obviously. Does not live me other than every other weekend.

    Car insurance $1300 every 6 months. Geico

    Oddity #1. I wanted to add a cheap 2005 6K car put daughter in it and I get the civic back as my daily driver. Raised car insurance $800 every 6 months. Same drivers 16 year old moves from 2011 to 2005 goes up $800....

    Oddity #2. If I get a policy for me (no daughter) that covers the civic it costs me $433 every 6 months. If I take the civic off the policy add the 2005 6K car it is a wash.

    Ok so the cheapest plan is to remove the civic from my car insurance policy with Geico and replace it with a cheaper used car. That is a wash. I still have the civic so I get a car insurance policy for me that has the civic new company. So basically I am covered twice in regards to car insurance. Confusing I hope I did not lose anyone. Am I missing anything? If I did this would the insurance companies care / cause me issues?

    Just FYI we had a better plan car wise until the wife took off and messed up the car rotation plan.

    Thoughts?
     
  2. windplex

    windplex

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    i believe the ins. co assumes your daughter (highest risk driver) will drive the worst car for insurance purposes. its the best way to be conservative about their risk -- minimize their risk or to make it realistic.
     
    Last edited: Mar 7, 2012

  3. Naelbis

    Naelbis

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    Make your daughter get her own insurance? That is what I had to do when I was that age. I had to buy my own car and provide my own insurance, otherwise I was taking the bus. The Civic is probably so much cheaper ins wise because of its safety ratings, what kind of car is the cheap(lol) 2005? Maybe you should buy her something really cheap, like my first car I bought myself 1983 Nissan Sentra.
     
  4. Jon_R

    Jon_R

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    A policy just her on her own is $450 per month..... Would cost her more just her then it costs me for her and I. Stuff like that leaves me scratching my head.... Having her pay the diff is an option. Job market for teenager jobs in the area are being filled with adults though.... I plan to require some money each month to defray the costs so she needs to find a job.

    The 05 I used for the comparison is 2005 Hyundai Elantra Sedan. I could go cheaper on the car but not sure it will change the insurance issues. Almost all of it is liability vs. collision or comprehensive.
     
    Last edited: Mar 7, 2012
  5. Gregg702

    Gregg702 Gold Member

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    This, or have her chip in on your insurance.
     
  6. vart

    vart

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    Move.

    Seriously, that is the biggest factor in car insurance rates.

    My wife is up in Idaho for a couple of months and we set up a new policy for her up there.

    It dropped $500 a year in costs.

    You live in an area with bad drivers and high crime and your insurance company knows it, so you are a higher risk and they charge accordingly. Same with me...
     
  7. vart

    vart

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    You also didn't mention deductibles or coverages; you can choose really high deductibles and lower coverages to keep costs down...
     
  8. Jon_R

    Jon_R

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    I follow that, the part that confuses me is adding a 3rd car to 2 drivers changing nothing coverage wise goes up $800 every 6 months. That means the insurance company thinks the liability they are exposed to is significantly greater. That I don't follow other then an extreme example where a driver takes the extra car wrecks it into someone comes home takes the next car and goes and wrecks it into someone I can't see why the big increase in liability risk of 2 cars 2 drivers and 3 cars 2 drivers.

    It is cheaper for me to cover myself twice and have 2 cars 2 drivers and another policy 1 car 1 driver (actually me again).
     
  9. HEMI 27

    HEMI 27

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    Price shop.

    I did and was amazed at the diffrence in premiums.
     
  10. WarCry

    WarCry

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    You're adding another car to the policy. When you say it changes nothing coverage-wise, you're right...

    ....EXCEPT THAT IT'S ANOTHER CAR!

    The only way you're going to reduce the costs SOMEWHAT is to get a car that you carry liability-only on and make your daughter the primary driver of that car. Even then, any driver that young is going to absolutely skyrocket your premiums, no ifs, ands, or buts about it. When I worked for GEICO, I actually had parents call and say their kid got their license. When I told them the price difference, they often said "Then I don't want to add them..."

    Doesn't work that way, and the whole "I'll make them give their license back" doesn't, either, because if you can voluntarily give it up, you can voluntarily get it back.


    In your situation, your best bet would be two cars, one for you with whatever coverage you want, and one for her with liability only. And even then? It's going to hurt in the wallet.
     
  11. vikingsoftpaw

    vikingsoftpaw DEPLORABLE ME!

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    Title both cars to yourself. Insure as such. Let daughter drive other car with standing permission.

    You're insuring the vehicle. If you allow others to use it, your covered.
     
  12. ray9898

    ray9898

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    You are still adding another vehicle that still adds risk to the insurer since claims occur in more ways than just crashes.
     
  13. ray9898

    ray9898

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    ....but they are going to make you list on the policy all drivers in the household and who the primary driver of each vehicle is unless you exclude them from the policy. She would fall under the resident category even if it is only part time especially since it is his daughter.
     
    Last edited: Mar 7, 2012
  14. WarCry

    WarCry

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    When there is an under-age driver in the house, unless there are fewer cars than drivers, the underage driver WILL be assigned as the primary driver to a vehicle.

    Kick and scream all you'd like, that's the way it's gonna happen.
     
  15. Wolfgang

    Wolfgang Millennium Member

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    the insurance company is thinking your 16 yr old will have an accident in the next 6 months. it might be a $50 fenderbender, or a $250,000 liability settlement.

    report back to us in 6 mos and tell which it was.
     
  16. skyflyer

    skyflyer NRA DAV

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    You almost have to buy a cheap car and just put liability on it. List her as the primary for that vehicle.

    It cost my son about the same money for liability on a $1500 car as I pay for full coverage on my truck.
     
  17. Jon_R

    Jon_R

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    If she makes it another 20 days she will have made it her first 6 months. Right now I am just trying to find a way I can drive a fuel efficient car daily without putting a 16 year old behind the wheel of a f150 8 cylinder extended cab, or paying an extra $150 a month in insurance on top of the extra $150 a month I already pay for the 16 year old for insurance. :dunno:

    I really don't want to get rid of my 9 year old long since paid off truck just because of insurance reasons. Sometimes I need a truck... Most of the time I want to drive around in a smallish car. I have a pair of 14 year olds behind her...... :faint:

    At some point I will just say no or defer to their mother to "figure" it out....
     
  18. Jon_R

    Jon_R

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    My current status is seperated pending divorce. The 16 year old driver is only with me every other weekend. I have not asked the question yet if she has to and / or can be on my policy. Her time she lives with me is small. 14% of the time. She may need to be on her moms policy. Any inside insight into what is the right way to do it?
     
    Last edited: Mar 7, 2012
  19. plasticgunz

    plasticgunz Swollen Member CLM

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    I understand you were in the business, but she only lives there 2 weekends a month. Does that make her "in the house"? FWIW, My Father wouldn't let me drive his cars, ever, even with him. I didn't live with him, except 2 weekends a month.
     
  20. WarCry

    WarCry

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    I missed that part, sorry.

    You're golden. Show proof that she's covered under a different policy and she won't have to be added to your plan as a full-time driver (check with the company to be sure, it's been a few years since I did it and things might have changed). You may be asked to show she's only a part-time resident with you, but probably not. The proof of other coverage is usually good enough.

    In that situation, she basically is just a guest driver, same as you loaning your truck to me to move some furniture. As long as it's with your permission, she'll be covered in case of an accident in your vehicle.
     
    Last edited: Mar 7, 2012