Will co-titling my car affect my insurance rates?
I purchased a car last December, and while it’s financed under my dad’s name, I’ve been responsible for all the monthly payments. Currently, both the insurance and title are also in my dad’s name. I’m planning to pay off the car in full next month, and afterward, I’d like to co-title it with my dad at the DMV. My concern is whether this change would lead to an increase in my car insurance.
For some context, I’m a 22-year-old female living in NYC. We initially put everything in my dad’s name because getting insurance in my name as a young driver would be prohibitively expensive. If we co-title the car and the insurance company recognizes my name on the title, will that cause my insurance rates to go up?
Co-titling your car could potentially lead to an increase in your insurance rates. Since you are a young driver, insurance companies often consider age and driving experience when determining rates, and having your name on the title might signal to the insurer that you are a primary driver. Here are a few things to consider:
Insurance Adjustment: When you co-title the car, your insurance company may reassess the risk associated with insuring the vehicle primarily due to your age and driving history. This could lead to a rate increase.
Discuss with Your Insurer: It’s a good idea to reach out to your current insurance provider before making that change. They can give you specifics on how co-titling might affect your premiums.
Consider Other Discounts: Since you’re planning to pay off the car and potentially change the title, you might also want to ask about any discounts you might be eligible for (e.g., safe driver discounts, multi-policy discounts) that could help offset a potential increase.
Shop Around: If you do see a significant increase, consider shopping around for quotes from other insurers. Different companies weigh factors differently, so you might find a better rate elsewhere.
In summary, while changing the title to include your name could impact your insurance rates, the exact effect can vary. It’s best to proactively communicate with your insurance provider to understand how this change will affect your premiums.