Should You Get a “Spin-Off” Car Insurance Policy?
Teen drivers can obviously be covered under their parents' insurance policy. However, at some point, they're going to need to get their own policy. When they're ready to start shopping around for car insurance, they're going to want to consider all options. One they shouldn't overlook is the chance to obtain a "spin-off policy". This can help them save a significant amount of money on their own personal auto insurance policy.
What is a Spin-Off Insurance Policy?
The price for auto insurance policies often depends on the driver's previous insurance history. If they have never had their own insurance policy, their rates are likely higher because they don't have a history. If they've been on their parents' policy until this point, it could mean they end up spending a lot more money for their own policy. A spin-off policy allows the young driver to use their parents' insurance policy for their history, which gives them the ability to show they're a good driver and get coverage with the same company as their parents have. With a spin-off policy, they can then get a substantial break on their insurance rates and potentially save quite a bit of money.
When is a Spin-Off Policy Possible?
Spin-off policies are only available in specific situations. A person who already has a history of having their own insurance policy is not going to need to get a spin-off policy. If someone has not been covered under their parents' policy in the past, they won't be able to get a spin-off policy. And, spin-off policies are not offered by every single insurance company. It can only be used if the driver is covered on their parent's insurance policy but are now looking for their own insurance policy.
Is a Spin-Off Policy the Best Option?
When a driver is looking for car insurance, it's definitely a good idea for them to look into a spin-off policy for consideration. It's still a good idea for parents and teens to make sure they check out other options as well just in case the spin-off policy is not the right one for them. This policy may not be the best option for everyone, so looking into all options is going to be the best path for families who have different needs or situations.
Are There Other Ways to Save Money?
Drivers have numerous options 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. If they have an older vehicle, if they've taken a safe-driving course, or if they are eligible for any other discounts, it could help make the spin-off policy more affordable or help them save money on a different type of policy in the long run.
If you've been covering a teenage driver on your insurance policy but you'd like to go forward with helping your teenager get their own personal auto insurance policy, make sure you look into a spin-off policy. When you're shopping for car insurance in Ohio, you might find that this offers you the chance to save quite a bit of money and still give your young driver their independence. Don’t forget to ask your independent agent about the pros and cons of having your young driver on a separate policy.