How long can I stay on my parents' car insurance?

I’m a recent college grad, and I’m trying to cut costs to pay for student loans. I’m definitely getting a better deal being on my parents’ car insurance than I would be on my own policy, but I’m worried about a possible time limit. Is there a limit to how long I can stay on my parents’ car insurance?

Answer
Congratulations on graduating! And no, unlike health insurance, there is no limit on how long you can stay on your parents car insurance. However, you must be living at the same address while on the same car insurance, which may be an issue for you.
It sounds like you know that insurance rates for young drivers with their own policies tend to be the highest of any driving demographic. You could be looking at premiums anywhere between $2,000 and $5,000 annually for full coverage. Luckily, premiums typically begin to drop when you turn 25 years old.
In the meantime, consider using these tips to save money while on your parents’ car insurance:
  • Good student discount: If you intend on returning to school, you could qualify for a discount by maintaining a good GPA. Typically you need to be enrolled full time and will need at least a B average to qualify.
  • Multi-car discount: Many insurers offer a multi-car discount when you have two or more vehicles at the same residence, which should fit your situation. You can expect a discount of around 10 - 20 percent depending on your provider.
  • Monitoring apps and safe driving programs: Some insurance companies, such as Progressive and State Farm, have driving apps that could potentially save you money by monitoring your driving habits. Your premium may be lowered if you drive less frequently and at safer times of day. If you complete a safe driving program you could also receive a discount of up to 8 percent—and who knows, you might learn something too!
If you find that being on your parents’ policy is costing more than your budget can handle, or if you are planning to officially move out, you might need to start shopping around for a policy. A great way to find the best deal on the coverage you need is by using the Jerry app. We’ll get you personalized quotes from top providers in seconds, so that all you need to do is pick the plan that works best for you. And once you pick one, we’ll even help you switch over!
Best of luck, and congrats again!
Chloe Jenkins
Answered on Dec 21, 2021
Chloe has a BA in Communication and Media Arts from Montclair State University and more than four years of experience in content writing, editing, and research. Before getting behind the keyboard at Jerry, Chloe was an Assistant Coordinator at her university and a film enthusiast working for the Montclair Film Festival. When she's not writing about car insurance, she spends her time with her pets, playing video games, or enjoying long weekend hikes.
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