Michigan Department of Insurance and Financial Services Offers Resources to Michigan Parents Insuring Teenage Drivers

Media Contact: Andrea Miller
Media: 517-284-8668
Consumer Hotline: 877-999-6442
Facebook: /MIDIFS Twitter: @MIDIFS


(LANSING) Insuring a teenage driver can be a significant additional cost for parents. Because statistics show that drivers under the age of 25 are involved in more car accidents, families with young drivers pay noticeably higher auto insurance premiums.

“Obtaining a driver’s license is an exciting time for teens. Along with this excitement and freedom comes the responsibility of operating a car,” said DIFS Director Patrick McPharlin.

DIFS understands insurance can be hard to navigate and offers the following tips when insuring your teenage driver:

Notify your insurance agent/company when your teenager becomes a licensed driver.
Failure to notify your insurer could result in your insurance company retroactively rating your policy back to your most recent renewal date for the additional driver, causing a large amount of premium being owed on your next premium billing notice. Your insurer could also deny a claim or cancel your policy if you fail to notify them about all licensed drivers in the household, including teenage drivers.

Shop around.
Some insurance companies require that they be notified once a driver receives a learner’s permit, while others require notification when a driver receives their license. It is important to check with your insurance agent to find out your company’s requirements.

Look into all discounts available to you.
Making sure you have all the discounts offered by your insurance company could help minimize the impact of the addition of a teenage driver.

Consider revising your family’s coverage or deductibles.
You may be able to lower your premium by increasing the deductibles on collision and comprehensive coverage or by removing physical damage coverage on an older vehicle.

For more information on insuring your teen driverwhat teen drivers should know,  or general automobile insurance information or for more information about DIFS or the services provided, please visit the website at www.michigan.gov/difs, follow them on Twitter or “Like” them on Facebook.