Adding a new teenage driver

[Krischaser]

Ok bumping this up so I can read again and get advice again. So my quote was 149.00 a month with all the discounts on a 2002 Chevy truck full coverage (what we have now). If we drop collision and comp it will be 97.00 a month. But what does that mean if we drop those. Our truck is in good shape with only 83,000 miles on it. Any advice would be great. Is this quote too high? Thanks!

 

[Jen and Ashwin]

Ok bumping this up so I can read again and get advice again. So my quote was 149.00 a month with all the discounts on a 2002 Chevy truck full coverage (what we have now). If we drop collision and comp it will be 97.00 a month. But what does that mean if we drop those. Our truck is in good shape with only 83,000 miles on it. Any advice would be great. Is this quote too high? Thanks!

Look up the blue book value of your car. This is around what you will get from insurance if your car is totaled out. It is a balancing act between what your car is worth and what you are paying for insurance after a deductible upon making a claim.

 

[Anthony1971]

you would save 600.00 a year... as OP said it means that your car is no longer covered if it gets stolen, an accident is your fault or partially your fault which most are partial even though you may only be 20% at fault or the car is wrecked outright like hitting a tree... sorry for the examples but easy to understand... I would highly doubt a 2002 car is worth much and the bottom line is what it is said to be worth is what you will get -- above says KBB but that Is not always the case sometimes it is fair market value which in most cases is lower than KBB..... it does not matter what you say about your car it is worth what it is worth although you may get special consideration for new tires or the like but hardly worth what you paid for them.

 

[hurt817]

I work for an insurance company - that really isn't a bad price. If you go the liability only route I'd at least carry uninsured/underinsured motorist. I also have a teenage driver - I would see what higher deductibles would run - at least $500 or $1000. With that low of miles the truck does still have quite a bit of value in it. Also make sure your getting all the discounts you can for him (good grade discount, driver training discount, etc). If you have liability only it only covers the other person & their vehicle. No coverage for your son's vehicle.

 

[tvguy]

Look up the blue book value of your car. This is around what you will get from insurance if your car is totaled out. It is a balancing act between what your car is worth and what you are paying for insurance after a deductible upon making a claim.

My neighbor is an insurance adjuster and he says the biggest mistake people make is assuming they will get Blue Book (or NADA) value from their insurance. They will get Actual Cash Value, which is lower.
There is some value from the peace of mind full coverage gives you, but the rough rule of thumb is if a car is worth less than $4-5,000 you should drop collision. However, in your case, your truck is probably worth $6-8,000 so you might just want to keep the coverage and pay the premium.
As others have posted, that really is a pretty fair price for a teen driver.

 

[Krischaser]

I work for an insurance company - that really isn't a bad price. If you go the liability only route I'd at least carry uninsured/underinsured motorist. I also have a teenage driver - I would see what higher deductibles would run - at least $500 or $1000. With that low of miles the truck does still have quite a bit of value in it. Also make sure your getting all the discounts you can for him (good grade discount, driver training discount, etc). If you have liability only it only covers the other person & their vehicle. No coverage for your son's vehicle.

Hi and thanks for the reply. This is with the 1,000.00 deductible. And the discounts for grades ect. What is the uninsured/underinsured motorist? Also what would happen if he drives one of our other cars that are covered full coverage too? Thanks!

 

[Mackenzie Click-Mickelson]

Hi and thanks for the reply. This is with the 1,000.00 deductible. And the discounts for grades ect. What is the uninsured/underinsured motorist? Also what would happen if he drives one of our other cars that are covered full coverage too? Thanks!

You really should be discussing this with your insurance agent when talking what is covered and isn't covered. The rules for coverage vary from state to state. You would need to know how your insurance company handles claims (look for your policy contract that should help you out..usually the full paperwork is sent when you sign up for the policy with renewal paperwork including reduced information).

From your profile page you are from Michigan. When I worked for my last job (at an insurance company) Michigan was one of our least favorite states...the coverages alone can be very different than other states..I would highly suggest contacting your agent for a good in-depth conversation something people should do from time to time as life changes. Getting a quick quote may not answers all the questions you have.

 

[cariann77]

Where in Michigan do you live that you can get a premium like that?!? That's a great price especially for a teen driver. Our nephew lives with us and got in an accident shortly after being licensed. Liberty Mutual quoted me over $14,000/annual for 3 vehicles.

 

[Krischaser]

Where in Michigan do you live that you can get a premium like that?!? That's a great price especially for a teen driver. Our nephew lives with us and got in an accident shortly after being licensed. Liberty Mutual quoted me over $14,000/annual for 3 vehicles.

Davison-- through state farm

 

[cariann77]

Davison-- through state farm

My nephew came to us from Davison. Maybe I should send him back there.

 

[hurt817]

Hi and thanks for the reply. This is with the 1,000.00 deductible. And the discounts for grades ect. What is the uninsured/underinsured motorist? Also what would happen if he drives one of our other cars that are covered full coverage too? Thanks!

UNINSURED/UNDERINSURED MOTORIST IS COVERAGE IF SOMEONE HITS YOUR SON & DOESN'T HAVE ANY INSURANCE OR NOT ENOUGH. IT ALSO COVERS PARKING LOT INCIDENTS - HIT & RUN TYPES OF CLAIMS. AS LONG AS HE'S RATED ON ONE OF YOUR VEHICLES HE'S COVERED TO DRIVE ANY OF THEM UNLESS OF COURSE IT'S A SEPARATE POLICY & HE'S SPECIFICALLY EXCLUDED. I ALSO WORK FOR STATE FARM!

 

[piccolopat]

UNINSURED/UNDERINSURED MOTORIST IS COVERAGE IF SOMEONE HITS YOUR SON & DOESN'T HAVE ANY INSURANCE OR NOT ENOUGH. IT ALSO COVERS PARKING LOT INCIDENTS - HIT & RUN TYPES OF CLAIMS. AS LONG AS HE'S RATED ON ONE OF YOUR VEHICLES HE'S COVERED TO DRIVE ANY OF THEM UNLESS OF COURSE IT'S A SEPARATE POLICY & HE'S SPECIFICALLY EXCLUDED. I ALSO WORK FOR STATE FARM!

Uninsured/Underinsured motorists coverage only covers bodily injury in many states, not property damage. Talk to your agent to make sure you understand coverage on your policy and in your state.

 

[hurt817]

Uninsured/Underinsured motorists coverage only covers bodily injury in many states, not property damage. Talk to your agent to make sure you understand coverage on your policy and in your state.

CORRECT - I'M IN TEXAS & THINGS DO VARY FROM STATE TO STATE - YOU'D NEED UNINSURED MOTORIST PROPERTY DAMAGE FOR IT TO COVER YOUR VEHICLE.

 

[Mackenzie Click-Mickelson]

CORRECT - I'M IN TEXAS & THINGS DO VARY FROM STATE TO STATE - YOU'D NEED UNINSURED MOTORIST PROPERTY DAMAGE FOR IT TO COVER YOUR VEHICLE.

And certain states don't offer UMPD/UIMPD...thus why the OP needs to be discussing with their agent this stuff not with the DIS boards. Certain stuff regarding vehicles/drivers are ok to discuss with the DIS...coverages including when you would and would not be covered for something is not one of those things.

 

[hurt817]

And certain states don't offer UMPD/UIMPD...thus why the OP needs to be discussing with their agent this stuff not with the DIS boards. Certain stuff regarding vehicles/drivers are ok to discuss with the DIS...coverages including when you would and would not be covered for something is not one of those things.

WOW!

 

[Mackenzie Click-Mickelson]

WOW!

What part are you "umm-ing" about?

 

[hurt817]

What part are you "umm-ing" about?

The part were you got your panties in a wad.....that's why I said things vary state to state.

 

[Mackenzie Click-Mickelson]

The part were you got your panties in a wad.....that's why I said things vary state to state.

First of all..that comment about panties is an easily reportable comment...

Second of all multiple people have already advised it would be best for the OP to be discussing this with their agent as far as what coverages are and when the OP would be covered or not. I understand you are an agent. Guess what? My father is an agent and has been for nearly 40 years, my step-father-in-law is an agent and has been for 20+ years, I worked an a large insurance company speaking with agents daily for 4 1/2 years, my mother works for insurance company though she works on the accounting side. I've been surrounded by insurance my whole life and I will still tell people you really need to discuss this with your agent.

The OP can easily get the definitions from their Policyback/Contract given to them when they signed up or if their insurance company provides at least the basic stuff in renewal packets they could get it there. They could request that too from their insurance company. They really should be doing this because not only do coverages vary from state to state but each insurance company is filed with the DOI (Department of Insurance) differently and in fact insurance companies may have different auto products that have different rules, different coverages offered, etc. We all should be having a more indepth discussion with our agents anyways when we have a life event such as a new driver. But it's not a good idea to get advice from people on a public forum when it comes to this stuff.

The OP's question first started as as asking about Comp/Coll on an older vehicle..that's really not too nitty gritty..but what coverages mean and when you would be covered by them is.

 

[hurt817]

First of all..that comment about panties is an easily reportable comment...

Second of all multiple people have already advised it would be best for the OP to be discussing this with their agent as far as what coverages are and when the OP would be covered or not. I understand you are an agent. Guess what? My father is an agent and has been for nearly 40 years, my step-father-in-law is an agent and has been for 20+ years, I worked an a large insurance company speaking with agents daily for 4 1/2 years, my mother works for insurance company though she works on the accounting side. I've been surrounded by insurance my whole life and I will still tell people you really need to discuss this with your agent.

The OP can easily get the definitions from their Policyback/Contract given to them when they signed up or if their insurance company provides at least the basic stuff in renewal packets they could get it there. They could request that too from their insurance company. They really should be doing this because not only do coverages vary from state to state but each insurance company is filed with the DOI (Department of Insurance) differently and in fact insurance companies may have different auto products that have different rules, different coverages offered, etc. We all should be having a more indepth discussion with our agents anyways when we have a life event such as a new driver. But it's not a good idea to get advice from people on a public forum when it comes to this stuff.

The OP's question first started as as asking about Comp/Coll on an older vehicle..that's really not too nitty gritty..but what coverages mean and when you would be covered by them is.

LOL - clearly you are ALWAYS right & ALWAYS want to have the last word. I'm not wasting anymore of my time bickering with you. Your reply speaks volumes.......

 

[Mackenzie Click-Mickelson]

LOL - clearly you are ALWAYS right & ALWAYS want to have the last word. I'm not wasting anymore of my time bickering with you. Your reply speaks volumes.......

Okie dokie no worries wasn't bickering either you clearly are always right as well considering you are an agent for State Farm. Probably best to just put each other on ignore lists then.