Can your parent pay for your vehicles car insurance, and it be cheaper for them, instead of higher for me?

OK, this will be long, but I hope to cover ALL of the bases here.

The first question is, do you live with your parents or is their home your permanent residence? If you are a student and live away from home, your parent's address can still be your permanent residence. If your parent's address is your permanent address, then you qualify to be on their policy. If not, then you will need to get your own.

Next, there are many different teirs of insurance. Progressive, for instance, has about 10-12 tiers that they rate people in. Each teir has its own rating basis. The teir you qualify for is based on your Insurance Score and includes things such as age, driving record, credit score and other things that only the companies know about. With a company like Progressive, they will rate each driver in the teir that they qualify for so the rates would be approximately the same, even if you were on your parent's policy. Other companies look at the overall Insurance Score and place everyone in the same teir. If your parent's teir of insurance is better than yours, and the company that they are insured with will let them stay in that teir if you are added, then the rate that they would pay after adding you would be lower than the cumulative rate that you and they are currently paying.

For example,some companies only have a couple of teirs of insurance. Standard (or preferred) and Non-Standard or Sub-Standard. If your parents are in the standard teir and your are in a non-standard company or teir, adding you may or may not drop them to non-standard. It depends on your driving record, etc.

To summarize, if you have a clean driving record, good credit, can legally claim their residence as your permanent residence and are in a lower teir of insurance than they are, then it might save money to be added to their policy. But as already noted in previous answers, even then it might not be in your and their best interest to do so. Weigh all of the considerations, not just what is cheaper, before making a decision.

Who's name is the car titled in? That's the name that should be on the policy, and that's the person who's credit score will be used for rate determination.

You just have to watch out, because some policies require that a parent be in the vehicle while you are operating it. So if you get in a wreck or pulled over, you may be SOL.

From my stand point, it was the same price for my folks as for me as it was entitled to a 20 year old male for the car and the policy covered my age at the time and the car's model.

Well, speaking as the parent, I do pay for my adult children's insurance. My son is 21 and a junior in college, and my daughter is 18 and a senior in HS. As soon as they can, they reimburse me for the monthly costs, though.

depends. my insurance company would not let me cover my son after he moved to a different state. and your parents are taking a big risk because if you have an accident, ticket or get your car stolen, their premiums will go up and it will cost them a lot for years. of course your parents can always give you money to pay your insurance, even if you have a separate policy. but it's their choice whether to try to put you on their policy. and a big risk for them. oh, and it isn't necessarily a lot cheaper to go on your parents' insurance. because you are still a high risk, young, male driver. so they have to pay alot, too. maybe a little less than you would pay on your own but not too much less. shop around.

No because you would have to be put under their insurance. If you're a teen it will be high no matter what, but it will be the same price for you or your parents no matter who it's under.

Generally, yes, if they add it to their current policy.

Mitigating factors would be your age and driving record. Because they have to list you as a driver. So if you have a bad record, their policy may go up for their OWN vehicles.

Otherwise, the second car on a policy does not cost as much as the first car.

for more details
http://www.insuranceplan4u.com

It would be the same because the insurance rate is determined by both the car and the driver. So who actually writes the check is immaterial. If it is not a separate policy but is added to their policy then the additional premium will be less that a whole new policy because of the multi-vehicle discounts. The problem with this approach is that if you have a major accident and it results in a multi-million dollar lawsuit, if you had been added as a driver on your parents' policy then they could lose their house and everything else. from a liability standpoint it is better to keep you off of their policy.

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