Recently Moved out? Three Reasons To Get Your Own Car Insurance.

So you just moved out on your own from your parent’s house. Congratulations!

In today’s society, more young adults are deciding to live at home to save money, so moving out is a serious accomplishment.

You’ve got your own space, no curfew, but unfortunately, no more easy access to free laundry. 

So…are you still on your parent’s insurance? While allowing you to remain on their insurance is a testament of how much they love you – remaining on their insurance while not living in the same household could cause potential (and expensive) problems for your parents if something were to happen.

Why is it a bad idea stay on your parent’s insurance policy?

Under most personal auto policies, the definition of an “insured” includes “family members.” While you are a family member by any other definition, in the world of insurance family members are limited to “a person related to you by blood, marriage or adoption who is a resident of your household.”

So, now that you’ve moved out and are living on your own, you no longer meet the “family member” status and your vehicle is no longer insured on your parent’s policy. You may be a “permissive user” on their insurance, but this can still cause problems for your parents if something were to happen.

Here are 3 cases that can cause problems when driving on your parent’s policy:

  1. Let’s say you borrow your new roommates truck to drive to work and accidentally get in a fender-bender with another vehicle causing minor injuries to the other driver. You won’t be covered with liability coverage for the other driver’s injuries or for the property damage to the other vehicle.
  2. It’s summer and you and a few friends have decided to rent a vehicle for a roadtrip. You decided not to buy rental insurance from the rental car company — you won’t be covered for any property damage if there is an accident because your parent’s insurance no longer covers you.
  3. If you are driving with a friend who doesn’t have insurance and get in an accident, you won’t have any medical coverage for your injuries from the car accident.

You’re now an adult — it’s time for your own auto insurance

Moving out comes with a lot of freedom for yourself and your parents. Protect yourself and your parents by getting your own auto insurance policy – it could potentially save you a lot of money and stress in the instance you are in an accident. It’s better to purchase your own policy and pay a small amount each month to protect you from any unexpected auto accident expenses.

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