Is it possible to remove an adult child off of the parents insurance once the child gets her own car and insurance?
Of course it is possible but it may not be the cheapest way. If you are all living at the same address, it is usually cheaper to add the third car onto a main policy than for the parents to pay for 1-2 cars and the child to pay for 1 car on a separate policy.
Call your company and check some rates. I had roommates who were sisters, and they got a much lower rate because they were related and shared a policy. One of them worked at the same company as me and we often carpooled, but got no discount for that.
Same experience as twoinanddone. When 20yoS bought his own car, it was much cheaper to add that car to our insurance than have him buy his own insurance. Call your insurance company and ask.
Our insurance company was very clear. If the car was NOT in our name, our son had to have his own insurance policy.
So…I would strongly suggest you contact YOUR insurance company and ask this question.
It depends. With our insurance it depends on who holds title to the car. We have looked into moving our 27 yr old S off our policy. His car was purchased when he was 17 and is in our name. If we put the car in his name he must get his own car insurance which is a lot more expensive. Note while S is under our car insurance he pays the premium.at some point we would love to get him off but hate him having to pay an extra 1000 a year.
When our D moved to San Francisco we switched the title to her name in order for her to get a resident street parking permit. Her insurance went up drastically.
Like mom60, when my son moved to Cambridge, I had to shift Title to him so he could get resident parking permit. He had to get MA insurance, but we kept same company.
Our kids both had cars in their names…they were NOT allowed to stay on our policy.
But that was only part of their issue. Both also reside in different states…and once they changed the car registration to the new state, they needed insurance in that state. We don’t live there…so the could NOT be on our policy.
Same as Bookworm for my son when he moved to Boston. I had to get a different ins company for him because my company doesn’t write in MA.
Adult child has own car & own policy. Wouldn’t have it any other way. Always been an independent one. Can still drive one of ours as a permitted user when the need arises – just as my brother can when he visits.
Yes, when we shipped the kids the cars, changed title to them and they got their own insurance. Our auto insurer only wrote HI policies. Their individual premiums were higher than H and I pay for our 3 vehicles, but we have long histories with no accidents. The kids each pay about $1k/yr for good coverage.
Usually, when a kid gets his own car and own insurance, the premium goes up because he is losing the discounts that the parents have on their policy, such as a discount for having the home and auto insured with the same company. If the home is in the parent’s name, then only the parents (vehicles on the parents’ auto policy) are eligible for that discount. The kid may also lose the multi-car discount. If the kid has moved to a different state, that is subject to the whole new set of rates for that state.
When we took D2 off our insurance she didn’t pay any more than we had been paying. She had renters insurance with the same company and that might be why.
Our umbrella policy went way down when that car was removed too.
When our daughter got her own insurance it was not any more expensive per year than the cost to have her on our policy.
However…when my son got his own policy…cost was almost double.
Our insurance went down about $100/ month when S got his own and that cost $185/ month iirc, which we paid for anyway. He just bought a new and much more expensive car last spring and his insurance is $408/month for 10 months - which we still pay because H is a sucker.