Is it mandatory to notify my insurance company when my son gets his driver's license, and what are the associated implications?

In most states, you are not required to inform your insurance company when your son gets his license, but failure to notify them could lead to coverage denial in the event of an accident involving the young driver.

Adding a teenager to your auto insurance policy can result in a hefty cost increase of between 50 and 100%, according to the Insurance Institute.

Teen car insurance rates are higher because teenagers are more likely to get into accidents, with the Centers for Disease Control and Prevention (CDC) stating that teen drivers (16-19 years old) are 3 times more likely to crash than drivers 20 years old and older.

Insurance companies require notification when a young driver, regardless of licensing status, starts driving your vehicles, as they need to assess the risk and adjust premiums accordingly.

Insurance company guidelines differ, but in general, carriers will require you to list all licensed drivers in your household on your insurance policy.

If your teen isn't driving, not even on a learner's permit, they do not need to be on your insurance policy, giving families time to save for a car if that's part of the plan.

You can leave your teen off your insurance policy if you choose to, but it's essential to check with your insurance agent to understand the implications.

When adding a teenager to your car insurance policy, it's recommended to get a quote for adding your child to your existing policy with higher liabilities.

Everyone in your household should be listed on your car insurance policy, except for unlicensed children, as insurance companies require disclosure of all household members when applying for car insurance.

If your teen has a learner's permit, it may be a good idea to add them to your car insurance policy, as it can provide coverage in case of an accident while they're driving.

Statistically, teenage drivers exhibit risky behavior, increasing the odds of accidents, but around 25% of teen drivers view themselves as "above-average" drivers, despite their inexperience.

Insurance companies use actuarial tables to assess risk and calculate premiums, taking into account factors like age, driving experience, and accident history to determine policy rates.