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Excluded Drivers: A risky business or a wise move?

  • Auto Insurance
  • Xavier Sabastian
  • 10 minutes

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Why did the excluded driver cross the road? To get to the other side…of the insurance policy! An excluded driver is someone who is excluded from a car insurance policy. This means the insurance policy will not cover any damages or accidents caused by that individual while driving the insured vehicle.

Who’s out? Excluded Drivers in Car Insurance

An excluded driver lives in your home but is not covered by your car insurance policy. Either the policyholder or the insurance company can do this. A policyholder or insurance company might think about this for several reasons, but it usually comes down to one simple word: risk. Find out below when you want to leave a driver off your auto insurance policy.

An excluded driver lives in your home but is not covered by your car insurance policy. Either the policyholder or the insurance company can do this.

Excluded Drivers: Real-life Examples

Usually, your auto insurance can cover everyone in your household who is old enough to drive legally. However, if you have a risky or troublesome driver at home, having them on your plan can increase your rates. Insurance companies have to pay out and cover more for drivers with many accidents or moving violations. So covering them is a more significant risk for the insurance company. Because of this, your insurance company will raise your rates to cover the additional risk.

Are you tired of insurance policies that only cover you and leave your family in the cold? Well, don’t worry because Way.com has got your back(side)!

In the movie “The Hangover,” Alan (played by Zach Galifianakis) is excluded from driving the car because of his reckless behavior. This leads to all sorts of chaos and hijinks throughout the movie.

Fudged Up GIF - Fudge Messed Up Zach Galifinakis GIFs

via Tenor

A driver who causes problems may have a history of:

  • Collisions or fender benders
  • Moving violations, like going through a red light or going too fast
  • Driving while drunk or high is against the law.

If you exclude the driver, they will no longer be covered by the plan as a driver. This means that while that person is driving, they are not covered by your insurance. If they don’t buy their insurance, they can’t legally drive any of the cars on your policy. 1 Once you take the terrible driver off your plan, the insurance company may not raise your rates because of how they drove.

In “Dumb and Dumber,” Harry and Lloyd are excluded from driving because they don’t have valid driver’s licenses. This doesn’t stop them from getting into crazy situations, including accidentally killing a rare bird.

Lot Of Bad Drivers Out There Jim Carrey GIF - Lot Of Bad Drivers Out There Bad Drivers Bad Driver GIFs

via Tenor

Excluded Driver: A wise insurance move?

If you add specific drivers to your policy, your premiums may increase. Most of the time, this is because they have a terrible record as a driver. Insurance companies set prices based on several things. If you list a high-risk driver on your insurance, your rates will almost certainly go up, no matter how good your record is.

For example, an adult with a history of impaired driving might move back in with their parents. If the parents removed their high-risk child from their policy, they could save a lot on their rates. This would make it impossible for their grown-up child to drive the car.

With Way.com, you can rest easy knowing that you are covered, and your loved ones are too. No more worrying about being the family’s black sheep regarding insurance coverage. We’ve covered you all like a warm blanket on a chilly night.

Also, if you live with roommates, think about exclusions. They won’t share your car just because they live in your house. By leaving these drivers off your policy, you can make the insurance company feel better and avoid paying more than you have to.

If you add specific drivers to your policy, your premiums may increase. Most of the time, this is because they have a terrible record as a driver. Insurance companies set prices based on several things. If you list a high-risk driver on your insurance, your rates will almost certainly go up, no matter how good your record is.

Uninsured Behind the Wheel: Excluded Driver 101

If you decide to take someone out of your auto insurance policy, the company will change your policy. The new plan will say who isn’t covered and what conditions must be covered.

The policy owner and the insurance company sign and agree that the named household member is no longer covered when driving one of your insured cars. People who can’t join don’t have to be close relatives. You can exclude any driver who lives with you, like a roommate or a cousin who stays with you for a short time.

Once a household member is listed as an excluded driver, they shouldn’t drive any covered vehicle. If they do, it’s the same as driving without insurance. If there is an accident, the owner of the car and the driver who is not covered could be held personally responsible for the damages. 

Some states don’t let drivers be taken off the list. This will make it less likely for people to drive without insurance. In Wisconsin, for example, drivers cannot be taken off the road by endorsement. 

How long you can’t do something depends on why it became a problem in the first place. If a driver was kicked off the insurance plan to make the company happy, they could get back on. They must get a good driving record and keep their license current.

You’ll need to talk to your insurance agent to add a driver previously left off your plan. They will check the excluded driver’s license and driving record. After that, restoring their status should be easy, and you’ll be given a new policy.

Driver Exclusion: To Do or Not to Do?

What do you call an excluded driver who gets into an accident? An uninsured disaster! 😆 

You decide whether or not to leave a driver off your car insurance. Your insurance company can’t make you buy something. It can, however, make you feel like you are being forced into an exclusion by charging you a very high premium rate or threatening to cancel your plan if you disagree.

The company’s reason is easy to understand. Insuring bad drivers is risky. This means that an insurer is much more likely to pay out claims for them. That makes the insurance company less likely to cover your whole plan. They should cancel your insurance than take on an even riskier driver.

You decide whether or not to leave a driver off your car insurance. Your insurance company can't make you buy something. It can, however, make you feel like you are being forced into an exclusion by charging you a very high premium rate or threatening to cancel your plan if you disagree.

You may find that the person you need to leave off the list is a family member who needs to drive, like a spouse or child. If your insurance company insists on leaving them off your policy, you must think of something else.

The first thing you should do is look around. Even if your current insurance company requires an exclusion, that doesn’t mean that all other insurance companies will too. One or two car insurance companies may cover you even if you don’t have the exclusion.

It may be best to have both depending on how much both plans cost. You would buy your insurance plan and put the high-risk driver on the list of drivers you don’t want to cover. Then you would get a separate high-risk policy for that driver. Premiums for these types of plans are often high, but if staying with your current insurer means leaving out someone who still needs to drive, it may be your best option.

Driving Dilemma? Try Excluded Driver Alternatives!

Remember that not all insurance companies let you leave certain drivers off your policy. Under some policies, if one driver in a household can’t get insurance, no one else can. Instead of letting you exclude things, other plans and carriers may charge you very high rates. Or, the insurance company might demand that the driver drop out of coverage and buy their insurance.

Once you have taken a driver off your plan, you can’t add them back when you renew it. To make a change, call your insurance company and ask them to add the driver to your policy.

You can always keep the driver on your plan if the provider lets you. Your premiums will go up, but how you pay for the policy is up to you. If your fast-driving son wants to drive, he could get a job to pay for his share of the higher insurance premiums or get his plan.

To make the insurance company happy, you can send your lousy driver to a course on being a better driver. In some situations, they might not have a choice. A judge might make them do it if they get into legal trouble. Your insurance company may also want you to take a driver’s education course before they continue to cover you.

Do the math before leaving a driver in your household off your policy. An insurance agent can help you determine how much money you will save by taking a driver off your policy. You could also find out how much it would cost to give them their plan.

Trouble Ahead: Loaning Your Car to an Excluded Driver?

The policy only provides coverage if someone covered by the policy takes the policyholder’s car. They wouldn’t have any insurance at all and would be driving. This includes urgent situations. If the driver who isn’t covered gets into an accident, the insurance company doesn’t have to pay for any damage. Damages could be paid for by the owner and the person who couldn’t drive.

Exclude college kids from car insurance policy?

If your young adult child doesn’t already have a bad driving record, keeping them on your policy is probably best. Even though it may seem like a good idea to exclude or remove a young driver who doesn’t live with you full-time, there are other options, especially if your college student lives at home during school breaks and might be driving one of your cars.

Many insurance companies offer a discount for students who live away from home. This lets you keep your student on your policy and saves you money on your premiums.

Excluded from car insurance? How Long?

A driver exclusion stays in place until you or, in some cases, the insurance company decides to remove it. The policyholder must send a formal request to the insurance company. The insurance company can approve or deny the request depending on the circumstances. This usually happens when a serious crime, like a DUI, has been removed from the driver’s record.

Bottomline

Being an excluded driver is no laughing matter. If you are excluded from a car insurance policy, you must understand that you will not be covered if you get into an accident while driving the insured vehicle. This can have serious financial consequences and could even result in legal trouble.

So, if you find yourself in a situation where you are excluded from a car insurance policy, it’s essential to take steps to protect yourself. This may mean finding alternative transportation options or improving your driving record to be added to the policy in the future.

Remember, when it comes to driving, safety should always come first!

So what are you waiting for? Join the Way.com family and let us care for all your insurance needs. Don’t be the odd one out – be the cool cat with coverage for the whole clan!

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