If you want to drive your parents' car, you may not necessarily need to be listed on their insurance policy. Most insurers cover someone else driving the policyholder's car with their permission once in a while. However, if you plan on driving one of your parents' cars regularly, it would be best to be added or named on their auto insurance policy. This is because insurance companies expect licensed family members living in the household to be listed on the policy. Leaving a driver off the policy to save on costs can lead to financial responsibility for all accident costs if an unlisted driver is involved in an accident.
The cost of adding a young driver to a parents' policy can vary widely, depending on the insurance company. For example, Nationwide charges an average of $2,718 per year to add a young driver, while USAA offers a more cost-effective option at $2,157 annually. However, it's important to note that USAA policies cater specifically to US military members, veterans, and their families. Non-owner car insurance is another option to consider if you frequently drive someone else's car but don't own a car yourself. This type of policy covers damages and injuries you cause to others while driving a borrowed car. However, it doesn't cover damages to the car you're driving. It's also worth noting that you can't legally drive your parents' car without any insurance at all, either on your parents' policy or your own.