Named insured

WHAT’S IN A NAME?

Everything, when it comes to who may or may not be covered under your auto insurance policy for first party benefits, which are medical bills and wage loss, and undersinsured and uninsured benefits. (UIM_UM.htm) Who does your policy cover? In addition to the policyholder, most auto policies cover any resident relative living in the same household. There has been much litigation and caselaw generated over just what this means. Some of it has centered around the frequent situation where a child is attending college, living in an apartment near the college or university. Often the parent tries to argue that the child still comes home and is considered a member of the household. Yet, the child has attained residency in the state where he or she is going to college, and so, the dispute over coverage.

Why put yourself and your child in this situation? How can you avoid this becoming an issue, if your son or daughter is injured in an auto accident and is now trying to collect under your policy, whether it be for underinsured benefits or medical coverage? How might this happen? Your daughter is in an auto accident as a passenger in another car, or is walking down the street and is struck by an automobile which is not insured. The list goes on.

There is a very simple solution and it costs you nothing extra on your premium. When you apply for your policy, and you are asked who you want listed as a named insured under the policy, include your child’s name. Or, include your child as a listed driver. That way, whether they are living on campus or with you, you know that they are protected in the event of an auto accident. You will need to check with your auto insurance agent to see if this can be done with your policy. All policies are different with different companies.