Is this insurance coverage appropriate for my teenage son?
I’m a 62-year-old dad and recently purchased a 2018 Nissan Rogue for my 17-year-old son, who just got his license. I’m planning to get him liability insurance along with Uninsured/Underinsured Motorist Bodily Injury coverage, with limits of $30,000/$60,000. We’re located in Texas.
While I know full coverage is the best choice, the quotes I’ve received for that are around $500 a month, whereas this liability option costs about $256 a month. Is this coverage sufficient for my son to drive safely and meet legal requirements?
It sounds like you’re considering a balance between adequate coverage and affordability for your teen’s car insurance. In Texas, the minimum liability coverage required is $30,000 per person for bodily injury, up to $60,000 per accident, which is what you’re planning. However, it’s important to note that this may not provide sufficient protection in the event of a serious accident, especially if medical costs exceed those limits.
While liability coverage with uninsured/underinsured motorist (UM/UIM) protection is a good start, you might want to consider a few factors:
Financial Responsibility: If your son is in an accident that results in damages exceeding your liability limits, you could be personally liable for the difference, which could be financially devastating.
Full Coverage Consideration: Although $500 per month for full coverage is noticeably high, think about the value of the car and the potential repair costs. Full coverage would help protect against damages to your vehicle and would likely provide peace of mind.
Accident Risk: Teens typically have higher accident rates, so consider this when deciding on coverage. A higher deductible might help lower the cost of full coverage.
Comparative Quotes: Don’t hesitate to shop around for insurance quotes from different providers or ask about discounts that may apply (good student discounts, safe driving courses, etc.) which could potentially lower your overall costs.
State Requirements: Make sure you’re meeting any state requirements, but also consider your personal comfort level with the coverage.
Ultimately, while the coverage you’re looking at might meet legal requirements, you may want to evaluate if it’s truly sufficient for your family’s needs. It could be worth investing a bit more for better protection, especially with a new driver.