Insurance Question

Discussion in 'Community Board' started by wdwmom0f3, Mar 29, 2013.

  1. wdwmom0f3

    wdwmom0f3 Thankful my embarrassing tag is gone!

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    Can someone help with this? Lets say that you have a child who has car insurance with you but you know that she is letting someone drive the car who you do not trust at all and you do not want to be liable for anything that that person does.

    Here are the options, you get your child insurance on their own and title the car in her name which will double the cost.

    Or

    I was told that you could keep everything as is and add his name as an NAMED uninsured driver meaning that anything he does in that car you will not be liable for. Have you heard of this?:confused3

    Leaving things as they are and naming him as a named uninsured driver with his name on our policy as some one who does not have permission to drive the car would be cheaper BUT, I'm not sure this would hold up legally.:confused:

    I am making phone calls, one to an attorney soon, but I just wanted to see if anyone here has any advice or experience with this?
     
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  3. ShirikiUtundu

    ShirikiUtundu Cursed Idol

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    Why would you enable something you don't approve of? Let daughter (not you for her) sign up for her own insurance then remove her from yours. Who cares if it's double the cost? It's no longer your problem to deal with.
     
  4. wdwmom0f3

    wdwmom0f3 Thankful my embarrassing tag is gone!

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    This is what we were going to do but there is way more to this that I am not going to go in to here, and it may come to that but before I do that I want to weigh out all of the options. This car is parked and has been for months so I'm in no hurry.
     
  5. TifffanyD

    TifffanyD DIS Veteran

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    Is there an option (3)... take the car away from the kid since they aren't listening to you and make them get their own car and insurance?
     
  6. wdwmom0f3

    wdwmom0f3 Thankful my embarrassing tag is gone!

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    As you can see from the above post, we did that months ago. I am now to the point where I want to sign it over to her and be done with all of this and let her be on here own but she is young with very little money and big issues ahead. I am trying to help my child.

    If anyone here can offer advice on insurance and not on parenting I would love to hear from you.

    Thanks!:)
     
  7. tvguy

    tvguy Question anything the facts don't support.

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    May vary from state to state. However, you are insuring the car, not your child. If you are giving your child permission to drive the car, they may in turn give permission others.

    While a talk with your child about not letting this person may be in order, you're going to be liable in most states if it is your car, and if your child is under 18.
     
  8. TifffanyD

    TifffanyD DIS Veteran

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    That was my advice on insurance because you are liable. If they are letting someone you don't trust drive the car then hopefully you have HIGH limits and maybe even an umbrella policy.

    But anyways I think the person has to live with you to be listed on the policy and if you exclude them then all t hat does is make you directly liable rather than going through your insurance (ie if they cause 20k in damage your insurance doesn't pay out any and you are liable for all of it)
     
  9. TifffanyD

    TifffanyD DIS Veteran

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    This named uninsured driver sounds like an excluded driver. Your insurance would NOT be liable but I am pretty sure you could be...
     
  10. figmentswife

    figmentswife One little spark will light your fancy

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    We had the same issue, also rule breaking.... I calls insurance agent and explained what was going on she informed me that no matter who's name the ins. was in that as long as he is under 21 and living with me, I was liable..... Meaning, if he or anyone driving the car got in a wreck and hurt or killed someone that the driver could be sued along WITH me ......WHAT???

    We sat son down and had him call ins agent and she explained it all to him. We then have him the choice of giving back the car or following the rules and he could keep the car.

    It was a real eye opener to talk to my agent, maybe you should call and ask some questions. Kids do sneaky stupid things all the time, I am glad to see that you are not being blind to it!

    Good luck.
     
  11. wdwmom0f3

    wdwmom0f3 Thankful my embarrassing tag is gone!

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    She s 20. The guy has his own insurance or so I am told. She also promised that he would never drive it but I don't trust that, at all. I need to cover myself and signing the car over to her is the only way I know how. She can't afford the high policy though because there was a break in coverage because I removed her when we took the car away. To keep the policy amount down she would have to be insured with us again for one year, then transfer it to her name.

    She could afford liability only but that's taking a big risk.
     
  12. TifffanyD

    TifffanyD DIS Veteran

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    So it's a coverage lapse issue. Did you talk with your agent about why there was a lapse (her not having a car at that time)? Sometimes there is an exception for that reason...
     
  13. bballmom56

    bballmom56 DIS Veteran

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    My child would not be driving the car at all if she could not respect my directions on who may drive it.

    Have you explained to her that it could bankrupt your family if this other person had an accident while driving it? Even he could sue you.
     
  14. wdwmom0f3

    wdwmom0f3 Thankful my embarrassing tag is gone!

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    THIS is my husbands concern. He flat out told me that all that was doing was protecting the ins. Company and not us. The car is in my name alone. I am willing to sign it over to her but she would only have liability where as with me she could afford full coverage.

    I wish that I could trust her not to let him drive it but I can't.
     
  15. wdwmom0f3

    wdwmom0f3 Thankful my embarrassing tag is gone!

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    That's a sore subject with me because they didn't explain that to me when I took her off, only a month or two ago. We took her car away four months ago and I removed her from our policy because things were not getting better. They told me I could add her back at any time, but didn't care to tell me that if there was a lapse she would have higher costs on her own policy. That really made me mad!
     
  16. TifffanyD

    TifffanyD DIS Veteran

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    Do you have an agent? Insurance laws vary by state PLUS insurance companies have different rules. So most information you get here won't exactly apply to your situation...

    For such a delicate and serious situation I would consult your agent. Of course once you tell your agent you know someone else is driving it then your options may dwindle...
     
  17. wdwmom0f3

    wdwmom0f3 Thankful my embarrassing tag is gone!

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    I spoke to my agent today and she told me about this "named uninsured" thing. She said that I wouldn't be liable for anything he did should he drive it and kill someone or what ever, but my husband does not trust that. Our attorney is on a cruise so I can't get him right now to double check.

    We are in Alabama if that matters.
     
  18. DebbieB

    DebbieB DIS Veteran

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    I would definitely talk to an attorney. If he does not live with you, I don't see why you would name him on your policy (all licensed drivers in your household are required to be reported). The fact that you are aware that there is an issue would seem to bring liability back to you in case of an accident. You may not be giving permission but your daughter is. So you would have to make a case that the car was stolen by him.
     
  19. sonnyjane

    sonnyjane DIS Veteran

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    By misfit brother was 24 and still driving a car in my mom's name as an insured motorist on her policy. He got a DUI on one occasion and had a collision with a tree on another. We were worried about her being the owner of the vehicle if he were to kill someone in another accident, so she put the car in his name only and removed him from her policy. At the time I was angry at her for essentially giving him a car for being a delinquent, but considering he used to just steal it anyway when she would tell him not to drive it, I'm glad that her name is no longer associated with the situation.
     
  20. crz4mm2

    crz4mm2 <font color=teal>Most of the time I just sit and s

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    Take the car away?
    No brainer to me.
     
  21. The Mystery Machine

    The Mystery Machine Sunrise at my house. :+)

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    Ultimately you MIGHT BE liable in the event of a catastrophic incident if you are providing her access to the insurance or she lives with you, since she is under 21. Laws are very weird with this.

    Now whether you are sued (insurance company and/or civil lawsuit) in the event of an incident remains to be seen. It really depends on your insurance company to settle the claim in a satisfactory matter to the victims.

    So if you want to do this for your dd then I recommend VERY VERY VERY high limits and in addition a large umbrella policy to go with it. That will put your mind at ease.

    Not sure if I would do an "exclusionary driver" thing on it either because you could be making yourself at fault from the get go if something happens.
     

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