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Teen drivers and insurance

Liability limits, deductibles, teen drivers and what actually happens after an accident.

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Quick answer

Adding a teen raises premium significantly because inexperience is the single largest rating factor in auto insurance. You can soften it with good-student and driver-training discounts, careful vehicle assignment, and — importantly — higher liability limits, since a teen crash is the classic path to a claim above your limits.

What you need to know

Raise limits when you add a teen

This is the moment to move to 250/500 and add an umbrella, not the moment to economize.

Vehicle choice changes the rate

A safe, moderate, slightly older car is usually cheaper to insure than a new or high-performance one.

Discounts to ask for by name

Good student, driver's education, telematics, and student-away-at-school.

Common mistakes

  • Carrying California's minimum limits, which a single injury accident can exhaust.
  • Declining or under-buying uninsured motorist coverage.
  • Leaving a household driver off the policy.
  • Filing small physical-damage claims near the deductible.
  • Never updating mileage, garaging address or commute after a change.

When to talk to an agent

Talk to an agent before adding a teen driver, after buying a vehicle, after an accident or ticket, or any time you are not sure whether your liability limits would survive a serious at-fault crash.

Frequently asked

This article is general information, not a policy or a promise of coverage. What your policy pays depends on its specific terms, limits and exclusions. Ask us to review your actual policy before making a decision.

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