Ultimate Guide to Adding Another Driver to Your Insurance

Generally, you can add someone to your policy who has a driver's license, regularly uses your vehicle and lives at your address. Most insurance providers require policyholders to add household members when you first sign up for insurance. Sometimes, you can add drivers who don't live with you, but this varies based on your insurer and location.

Adding someone to your car insurance will affect your premiums, but the extent of the increase will depend on factors such as the other driver's age and accident history.

• What Does Adding a Driver to Your Insurance Mean?
• When Should You Add Someone to Your Insurance Policy?
• When Not to Add a Driver to Your Policy
• How Do You Add a Driver to Your Insurance?
• How Much Will It Cost to Add a Driver to My Insurance Policy?
• Frequently Asked Questions About Adding a Driver to Your Policy

Adding another driver to your car insurance, known as a "listed driver," provides coverage whenever they drive your vehicle. A listed driver can be any licensed person living with you, regardless of your relationship.

If you share your vehicle with someone in your household, including them on your insurance is a wise financial decision. It ensures financial protection for you and your loved ones in the event of an accident without the need for two separate full-priced policies.

Car insurance companies usually require all household members to be added to the policy. While there’s no standard, most auto insurance providers allow you to add four extra drivers to your policy, provided those persons meet your insurer’s criteria.

Usually, companies require that the folks you add to your insurance:

• Have a driver’s license
• Share an address with you
• Have access to your car

However, you can also add employees who don’t live with you but use your car regularly, provided your policy is a commercial auto policy. Most personal auto insurance policies don’t allow you to add individuals to your policy using your car for commercial purposes.

Consider adding someone to your insurance if they might use your car. Listed drivers usually enjoy the same coverage as policyholders, a proactive step that aligns with smart financial planning.

Most car insurance policies have a permissive use clause. However, if a permissive user who's not a listed driver has an accident, your insurer might not cover the damages because you did not specifically name them in your policy. Usually, permissive drivers are allowed to borrow your car 12 times a year. If you live with someone who regularly drives your vehicle, you need to add them to your policy.

The permissive use clause in your insurance policy generally covers anyone who drives your car with your permission. So, if someone isn't going to be driving your car frequently and doesn't have regular access to it, adding them to your policy might be unnecessary.

Who you should add to your car insurance policy will depend on your personal circumstances. Generally, adding people in your household who regularly drive your car is best.

If the following individuals use your car regularly, consider adding them to your auto insurance policy:

Generally, you can add anyone to your car insurance if they live with you and have a driver's license. Whether it's a family member, friend or roommate, choosing to include another driver should align with your needs and your insurance provider's guidelines.

You may want to add someone temporarily or permanently, depending on the situation. Your provider can guide you on the best approach based on your needs.

In most cases, insurance companies won't allow you to add a driver to your policy that doesn't live with you. However, some companies might make an exception if the driver you're adding uses your car regularly, like your children who are not living with you and are considered young drivers. It's wise to contact your insurer directly to understand your options.

Sometimes, adding a person to your insurance is unnecessary if they'll only be driving your car temporarily — such cases are usually covered by your policy's "permissive use" clause.

GEICO offers the cheapest policy if you add a driver to your insurance, at an annual average of $1,407 (a 52% discount compared to two single drivers' costs).

This provider also offers car insurance discounts, like good student discounts or good driver discounts, which are ideal for families with young drivers.

The table below highlights the cheapest insurance companies catering to primary and secondary drivers. Make an informed choice by exploring these offerings.

Whether you'll see an increase or decrease depends on your additional driver's age, gender, driving experience and driving history. Car insurance prices vary based on numerous factors, like your:

• Address
• Age
• Driving record
• Credit score
• Car's value

While companies don't disclose how they calculate prices, generally, you can expect lower rates if your second driver decreases the risk of your car being involved in an accident. Likewise, you can expect increased premiums if you add a risky driver to your policy.

As such, adding a parent to your car insurance usually decreases your premiums, while including a teen driver tends to increase your rates. Adding a high-risk driver to your insurance will raise your rates but will likely significantly make it cheaper for them.

Generally, it's cheaper to get another driver or acquire a multi-car insurance policy than getting two separate policies.

Many insurance companies do not charge a specific fee to add a driver to your car insurance policy. Insurers usually consider it a standard alteration to your policy.

MoneyGeek has various resources to help you find the cheapest car insurance available for your unique circumstances and needs. When looking for coverage, it's always a good idea to shop around and compare quotes from at least three different companies to find the best premium for you.

The table presented below provides a clear snapshot of the cheapest car insurance companies for those with teenage or young driver secondary drivers. Utilize the dropdown menu to select your dependent's age and instantly view the corresponding rates and companies. Remember, knowledge is the first step toward making wise financial decisions.

If you want to add another driver to your car insurance policy, MoneyGeek answered some frequently asked questions to help you get started.