| The state of California requires that you get | | | | But if they cause an accident in your car, their |
| automobile liability insurance for all of the drivers in | | | | own insurance will have to pay the damages. |
| your household. If someone in your home gets in | | | | Additional driver insurance covers only your car or |
| an accident and they don't have car insurance, | | | | cars. The covered person has no protection when |
| your insurance company will turn down their claim. | | | | they drive other people's cars. |
| California requires that every driver have a | | | | When you add an additional person to your |
| minimum level of insurance. The requirements are | | | | coverage, it will increase the cost of your policy. |
| called 15/30/5. That means that the insurance | | | | The amount of the increase will depend on how |
| company will pay $15,000 if there is one injury, | | | | old the driver is, their driving record, and |
| $30,000 if there are 2 or more and $5,000 in | | | | sometimes even their credit score. |
| property damage including damage to the other | | | | Adding a teenaged driver will make the family's |
| vehicle. Note that liability only insurance covers | | | | insurance premiums skyrocket, much to many |
| damage done to someone else and does not | | | | parent's dismay. However, if the student has |
| replace your own car. | | | | good grades, it helps. If an additional driver has |
| If you don't carry liability insurance, the California | | | | tickets or an accident, it will increase the policy |
| Department of Motor Vehicles will suspend your | | | | rates as well. Finally, insurance companies are |
| license for up to a year. If you don't pay the | | | | increasingly looking at credit scores as their |
| damages you are liable for, they can suspend the | | | | actuaries have found a correlation between bad |
| license until you do. If you do not have liability | | | | credit and high risk driving. |
| insurance, you are personally responsible for all | | | | If you live in a house with other drivers, make |
| damage done. | | | | sure they are covered by your insurance or their |
| If someone in your household has their own car | | | | own. If not, lending your car to them for a |
| and car insurance, you don't have to put them on | | | | grocery run could turn out to be an expensive |
| your insurance if they drive your car occasionally. | | | | proposition. |