Who Is A Listed Driver And Why It Matters

When taking out an auto insurance policy, it's important to know who should be listed as a driver. Generally, insurance companies require all licensed drivers in a household to be listed, except for unlicensed teenagers or those younger than 14. This includes anyone who drives the car regularly, such as friends, neighbours, or live-in nannies, as well as family members who live with you, like your spouse, children, or parents. Failing to list a driver can result in claim denials, increased premiums, policy violations, and even policy cancellation.

Who is a listed driver?

A listed driver is anyone noted on an auto insurance policy. However, this does not necessarily mean that they are a rated driver, i.e., that they will affect the insurance premium.

In general, auto insurance policies require all licensed drivers in a household to be listed, regardless of whether they drive the car regularly. This can include spouses, partners, children with driver's licenses, parents, uncles, aunts, cousins, and roommates. If a household member does not have a driver's license and does not plan to get one, they can be classified as a "non-driver".

If a driver is not listed on an insurance policy, this can lead to coverage disputes, claim denials, policy violations, and potential penalties like fines or license suspension. It is therefore important to be transparent with insurance companies to ensure proper coverage.

Who should be listed?

When it comes to auto insurance, it's important to know who should be listed as a driver on your policy. Here's a comprehensive guide to help you navigate this process:

Household Members

Typically, insurance providers require listing all household members with a driver's license, regardless of whether they regularly drive your car. This includes spouses, partners, or significant others, children with driver's licenses, and other family members living with you, such as parents, uncles, aunts, or cousins. It's worth noting that not every listed household member will affect your insurance rates. Your insurance agent can help classify members based on their driving status, such as rated or listed drivers.

Non-Drivers

Even individuals in your household who don't drive should be listed as 'non-drivers' on your policy. This includes elderly family members or those with physical disabilities that prevent them from driving. Listing them provides transparency to your insurance company and ensures you have taken the necessary steps to be covered in case of an accident.

Licensed Drivers with Separate Insurance

If any licensed drivers in your household have their own separate insurance policy, they can still be included in your policy as 'other insurance'. Some insurance carriers may request proof of their separate coverage. While their presence may not directly impact your premium, their access to your vehicle could change your risk profile.

Individuals Outside Your Household

It is essential to list individuals who don't live with you but use your car regularly. This could include nannies, caregivers, or children away at college who still use your vehicle when they visit. By listing them on your policy, you ensure coverage in case of an accident.

Excluded Drivers

You also have the option to exclude specific drivers from your policy, particularly those with a poor driving record or high-risk behaviours. Excluding these drivers helps prevent their records from affecting your insurance rates. However, it's important to note that if an excluded driver operates your vehicle and gets into an accident, your insurance company may deny the claim, leaving you financially responsible for any damages.

Who can be excluded?

An excluded driver is a person in your household who has been explicitly excluded from coverage under your car insurance policy. Their name will show as "excluded" on your policy, and they won't be insured to drive any vehicles on your policy. Not all states allow policyholders to exclude household members from coverage.

You can exclude a driver from your policy if they are a risky driver, have a poor driving record, or have a history of moving violations or at-fault accidents. Excluding a driver can help you avoid high insurance costs.

• Disabled household members
• Elderly relatives who can no longer drive
• Spouse, partner, or significant other
• Children with driver's licenses
• Other family members who live with you, such as parents, uncles/aunts, or cousins
• Nannies or caregivers who live outside your home but will be using your car regularly
• Teen drivers in your household
• A family member with a separate insurance policy
• A family member with a DUI conviction or suspended/revoked driver's license

What happens if a driver is not listed?

Not listing a driver on your car insurance policy can have significant consequences, both legally and financially. It is generally advisable to list all household members who have access to and regularly use your vehicle on your car insurance policy. By doing so, you ensure that they are adequately covered in case of an accident.

Listing all household members helps insurance companies assess risk accurately and determine appropriate premiums. Failure to disclose household members could potentially invalidate your insurance coverage, leaving you exposed to legal and financial consequences.

If an unlisted driver causes an accident, your insurance company may deny the claim, leaving you responsible for damages and repairs. This can lead to substantial out-of-pocket expenses and potential legal issues. Not listing a driver on your insurance can lead to coverage disputes, claim denials, policy violations, and potential penalties like fines or license suspension.

Insurance companies may deny claims or limit coverage if an unlisted driver is involved in an accident. This is particularly likely if the unlisted driver is someone who should have been listed on the policy, such as a family member who lives with the policyholder, or someone who drives the car frequently.

In some cases, the insurance company might choose to cancel the policy altogether due to a breach of contract. This can occur if the insurer believes the policyholder intentionally failed to disclose information about regular drivers of the vehicle.

It's important to note that not all household members need to be listed on your car insurance policy. However, most insurance companies will require that all licensed drivers in the household be included unless you can prove they are insured elsewhere.

If you're uncertain about who should be listed on your policy, it's best to contact your car insurance company and discuss your options.

What happens if an excluded driver gets into an accident?

An excluded driver is someone who is specifically mentioned in an auto insurance policy as not being allowed to drive a particular vehicle. Excluding a driver means that the insurance company has a special rule in your policy saying that this specific person is not covered when driving your car. This is often done when the excluded person is considered a higher risk, perhaps due to a history of accidents, or other factors such as age restrictions, poor driving history, or a lack of driving experience.

If an excluded driver gets into an accident, there can be several consequences:

No Insurance Coverage

If an excluded driver has an accident, your insurance may not pay for the damages because this person is specifically not covered in your policy. This leaves the vehicle owner or the excluded driver responsible for the costs of the accident.

Financial Responsibility

The responsibility for covering the costs of the accident, including repairs and medical bills, falls on either the vehicle owner or the excluded driver. This can result in substantial out-of-pocket expenses.

Impact on Insurance Record

The accident involving an excluded driver could affect your insurance record, possibly leading to increased premiums in the future.

Policy Cancellation or Non-Renewal

In some cases, the insurance company might choose to cancel the policy altogether or decide not to renew it due to a breach of contract. This can occur if the insurer believes the policyholder intentionally failed to disclose information about regular drivers of the vehicle.

Legal Consequences

Depending on the severity of the accident and applicable laws, the excluded driver may face legal consequences such as traffic violations, fines, license suspension, or even criminal charges in cases involving reckless behaviour or driving under the influence.

It is important to note that the consequences of an accident involving an excluded driver can vary depending on the specific circumstances, insurance company, and local regulations. To avoid unexpected problems, it is essential to be clear about who can and cannot drive your car according to your insurance policy and to understand the rules and agreements in your policy.

Frequently asked questions