If you have a child in your household who is old enough to drive a vehicle, you probably have him/her on your current auto insurance policy. However, what happens when your young driver needs insurance coverage of their own? Whether it is due to age, marriage, or simply wanting to pay for his/her policy, you and your child should know what to look for while shopping around for car insurance in Ohio.
Auto insurance rates typically depend on an individual’s insurance history. If a person has never had an insurance policy, their policy rate is likely to be higher since they do not have a history of insurance. One option that you and your child should not overlook is the opportunity to obtain a spin-off insurance policy. A spin-off policy allows a young driver to use his/her parents’ insurance policy as their insurance history, which gives them the ability to show that they are a good driver and get coverage with the same company as their parents have.
If your driver decides to obtain a spin-off policy, he/she may get a substantial break on insurance rates and potentially save quite a bit of money. However, it will also save you money by removing the driver from your policy since young drivers tend to raise insurance rates.
Spin-off policies are only available in specific situations. A person who already has a history of having an insurance policy is not going to need to get a spin-off policy. If a driver was not covered under their parents’ insurance policy in the past, they wouldn’t be able to get a spin-off policy.
Additionally, spin-off policies are not offered by all insurance companies. Such a policy can only be used if the driver is covered on their parent’s insurance policy until they are ready to purchase their coverage.
When a driver is looking for car insurance, it’s a good idea to look into a spin-off policy to save money and show a history of insurance. This policy may not be the best option for everyone, so looking into all possibilities is going to be the best path for families who have different needs or situations. Talking with your local independent insurance agent will help you to determine what route is right for you and your family.
There are numerous ways to save money with a spin-off policy, and when choosing other policy saving options. When a driver is ready to look into getting a new Ohio car insurance policy, they should check for discounts that might be available to them. Discounts may apply if a driver took a safe driving course in the past, or by merely owning an older vehicle.
Taylor & Associates Insurance Agency is a local family-owned independent insurance agency in Preble County, Ohio. We are a team of experienced agents who can walk you through the pros and cons of obtaining a spin-off policy, along with any other questions or concerns that you may have. Contact us today to learn more and remember, there is a difference between having the right coverage and just being insured.