Should I list my parents on my auto policy to get a lower rate?

I have always been listed on my mom and dad's auto insurance policy. Now that I've moved out, I have been shopping for my own. I noticed that when I included my parents as drivers, the rate went down. Is it okay for me to list them, even though they have their own policy?

Answer provided by
Shannon Martin
Answered on Apr 29, 2021
Shannon is an expert in personal lines liability insurance with 13 + years of insurance industry experience. She also served as a special insurance liaison to AARP members for 6 of those years. She is a graduate of UL Lafayette and currently resides in NY with her family. Shannon is also an amateur juggler, ukulele player, and is a time travel paradox theory enthusiast.
“You will only want to list your parents on the policy if they are active and regular drivers of your vehicle. If they are listed just to keep the rates down, that is considered fraud and your insurance provider could cancel your policy.
Insurance can be expensive when you first get your own policy. But there are ways to mitigate the cost. After a couple of years of having your own policy, the rate will come down.
Check with the same carrier your parents have to see if they can get a better rate for you. Some carriers like GEICO offer spin-off policies and give drivers that were listed on their prior policies a preferred rate.
Also, look into your discounts. You may be eligible for a multi-line discount by bundling your auto and homeowners or renters policies together. You can find auto and home bundles by shopping for insurance online.”

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