When an individual gets their permit to drive, they are considered a permitted driver until they receive their license. They are covered by your auto insurance policy if they reside in your home and the parent or guardian is in the passenger seat.
You must contact your insurance agent to add a permitted driver to the policy. There is no additional premium until he/she gets their license.
What happens if someone else is at fault in an accident that involves you and they do not have enough insurance to cover your damages and medical payments? This coverage also comes into play if you are the victim of a hit and run. It is a very affordable option to cover you if the other driver is unable to.
One easy way to remember the difference between comprehensive and collision coverage is that comprehensive covers “acts of God.” This would include animals, glass breakage, trees falling on your vehicle, etc. Collision is easily defined as colliding with anything other than an animal such as another vehicle, a house or building, a tree, or a mailbox.
It is commonly perceived that car insurance follows the driver. This is actually not the case. If you give someone else permission to drive your car, known as permissive use, your policy will cover the accident should there be one. Keep in mind, however, that this can result in you having to pay a deductible and possibly having your insurance premiums rise if they are at fault.