How to Remove Someone From Your Car Insurance Policy
Last Updated on August 22, 2020
It may be in your best interest to remove a driver from your insurance policy.
By removing a high-risk driver from your policy, you could save thousands per year on car insurance. Or, you might remove a high-risk teenage driver from your policy because they’re not yet licensed to drive.
For all of these reasons and more, you may need to remove someone from your car insurance policy. Here’s how to do it.
Contact Your Insurance Company
The easiest way to remove someone from your car insurance policy is to contact your insurance company.
Some car insurance companies do not allow you to remove a person from your policy. Other companies charge a fee. Some require documentation, while others make it easy.
Some insurance companies even allow you to exclude a driver via the mobile app. All major insurers now have mobile apps.
In most cases, however, you need to contact your insurer to remove someone from your policy.
An insurer may not allow you to remove someone from your policy if that person drives your car regularly. Your insurer assumes the person will continue using your vehicle even as an excluded driver.
If the person does not drive your car regularly, however, or has moved out of your home, then you should be able to remove them from your policy easily.
Contact your insurer to determine how to remove someone from your car insurance policy.
Excluding a Child From Your Policy
Many parents want to exclude their child from a car insurance policy. Children – particularly teenage drivers – are high-risk. They pay the highest possible insurance premiums. A teenage driver is more likely to make a claim than a driver of any other age.
By excluding a child from your policy, you could save thousands per year on car insurance. Some parents exclude a teenage driver because the teenager isn’t driving the family’s vehicles. Other parents exclude a teenage driver because the teenager caused an accident and caused rates to skyrocket.
Removing a child from your car insurance policy may be more difficult than you thought. Insurance carriers want everyone in your household listed on your policy. They know anyone in your household could potentially drive your vehicles – say, in an emergency situation.
The best and easiest way to remove a child from your policy is to exclude that person as a driver.
Some carriers don’t allow you to exclude a child from your policy. Some carriers don’t allow excluded drivers at all.
Other carriers charge a fee for excluded drivers. You might save thousands of dollars per year by removing a child from your policy, although your carrier charges a $50 per year excluded driver.
Once your child is listed as an excluded driver, your child can no longer drive any insured vehicles. If your child must drive an insured vehicle, then your insurer can deny any claims, and your child may not be legally covered by insurance.
Other Ways to Exclude a Driver From Your Policy
Sometimes, insurance companies require additional documentation before removing a driver from your policy. Whether it’s a child or a roommate living in your household, you might need to jump through some hoops to remove that driver.
Provide Proof of Alternative Car Insurance
If your child or roommate has other car insurance, then you should be able to remove them as a driver from your own insurance policy. In this case, the person’s insurance will be the primary insurance, which means your own insurance does not need to cover the person after an accident (even if driving your vehicle). Your insurer might require proof of other car insurance if your child no longer lives at home.
Provide Proof of New Residence
Similarly, if a child or roommate has moved out of your home, then you may be required to provide proof of new residence to remove that person from your policy. Proof of new residence can include a utility bill or rent payment proving the person no longer lives at your address. Many insurers require proof of new residence if your child moved out at an early age.
How Named Driver Exclusions Work
If your insurer allows a named driver exclusion, then you can exclude a specific driver from your policy.
Once someone is named as an excluded driver, that person is not permitted to drive any of your insured vehicles. That person will also not impact insurance premiums.
Pros and Cons of Removing Someone From Car Insurance
Sometimes, removing someone from car insurance makes the most sense. If your roommate has multiple DUIs and at-fault accidents, for example, then listing your roommate as an excluded driver could save you thousands of dollars per year.
With children, however, things can be more complicated. Sometimes, it’s better to keep a child on your policy even if it costs more money today.
Some of the pros and cons to consider before removing someone from your policy include:
Cut car insurance premiums in half. Many parents’ policies double in price when adding a teenage child. By excluding your child, you could save thousands of dollars per year on car insurance.
Maintain continuous car insurance coverage. Insurance companies like when drivers keep continuous car insurance coverage. By maintaining continuous coverage, you (or your child) could save thousands of dollars on insurance in the future.
Remove high-risk drivers. Maybe your wife has two DUIs. Maybe your roommate has multiple speeding tickets and at-fault accidents. By excluding high-risk drivers from your policy, you can lower premiums significantly.
Children can stay on your car insurance policy as long as they live at home. Whether your child is 20 or 40 years old, they can save money on car insurance by being listed under your policy. You do not have to exclude your child at any age (as long as they live at home).
The person cannot drive. After removing someone from your policy, that person cannot legally drive your vehicle for any reason. If that person drives your vehicle and causes an accident, then insurance will not pay. You could be liable for all damage caused by that driver.
Young drivers pay more on their own. Adding a child to your policy can double premiums. However, children can easily pay $6,000 or more per year for their own policy. Adding a new driver to your own policy might seem expensive, although it’s generally cheaper than buying a new policy for that child.
A single uninsured accident can negate all savings. You might remove someone from your policy but still allow that person to occasionally drive your vehicle. However, a single uninsured accident can negate any cost savings – and insurance won’t cover it.
Not all carriers allow it. Some carriers make it difficult to exclude a driver. Others charge a fee. Some carriers don’t allow excluded drivers at all.
Before removing a driver from your policy, consider the advantages and disadvantages.
Final Word – Removing Someone From Your Car Insurance
Most insurance companies allow you to exclude a driver from your policy. You might need to provide documentation or pay a fee, but excluding a driver can save you thousands per year on car insurance.