Who pays, if anyone, when an underage driver hits you and causes an accident depends upon whether an insured adult gave the underage driver permission to use the vehicle and whether the driver is specifically excluded. If the underage driver had permission from the car owner, then the car owner is liable and his/her liability insurance policy covers them. If no permission was given, the owner’s policy does not cover the underage driver and you will likely have to look to your own policy for coverage.
When the Underage Driver Has Permission to Use the Vehicle
When an adult gives permission to an underage driver to operate the adult’s vehicle, this gives rise to a negligent entrustment claim. That means that the adult may be held legally liable for damages caused by the minor. Additionally, when you buy auto insurance, it typically covers all members of the household who are legally licensed to drive. However, insurance policies usually exclude members of the household who are underage. Thus, if the adult is a parent of the child who lives in the same home, the insurance policy will not cover the damages done. Furthermore, when the car is stolen or taken without permission, this voids insurance coverage. However, if the adult loans the car to an underage driver who does not live in the same household, the exclusion for underage household members will not apply. Thus, ironically, the car owner’s coverage may apply to his negligent entrustment to an underage driver who is not a member of the household but not to one who is a member of the household.
When the Underage Driver Has No Permission
When an adult car owner does not give the underage driver permission to drive the vehicle, the car owner is not liable for the actions of the underage driver. It is seen as a theft of the vehicle. This is true whether the keys were left where the underage driver could access them or whether the underage driver stole the car. When you run into this issue, it can be an uphill battle. The only people who really know the answer are the car owner and the underage driver. If their story is that it was an unauthorized use, you may be stuck with no way to hold the owner liable and a child driver who has no insurance and is effectively judgment-proof.
Named Party Exclusions
Some insurance policies will specifically name people who are not covered under in any circumstance. If the underage driver is specifically excluded by name, then it does not matter whether permission was or was not given–the owner’s policy will not cover it.
When Does Uninsured Motorist Coverage Apply?
Uninsured motorist coverage is optional auto insurance that helps pay for your medical bills. losses, and/or car repairs if you’re hit by a driver who doesn’t have valid car insurance. This type of insurance will protect you when an unlicensed or underage driver’s actions void their own vehicle’s coverage. Thus, if the car is stolen or the underage driver is excluded by the policy, you can file an uninsured motorist claim so long as you paid for this coverage. A Houston uninsured motorist insurance attorney can help you review your policy to determine whether you have the right coverage and whether the other driver is covered by the car owner’s insurance policy.
What is Covered by Uninsured Motorist Coverage?
Uninsured motorist coverage covers anything the other driver would be legally liable for, such as pain and suffering, medical bills, lost wages, disfigurement, future medical, and property damage. This type of coverage protects not just you, but anyone in the insured vehicle car when you are hit by an uninsured driver. It will also cover the insured when she is operating someone else’s vehicle. (It will not cover the passengers in the latter situation.)
How Much Uninsured Motorist Coverage Do I Need?
Uninsured Motorist Insurance is optional coverage in Texas. The minimum you can buy is 30/60/25. That is 30,000 per person up to 60,000 per accident for bodily injury and 25,000 for property damage. You can buy as much as you want. In a serious accident, bills can pile up. Therefore, carrying as much as you can afford is wise. Simmons and Fletcher, P.C. recommend no less than a 100,000 per person, 300,000 per accident policy.
Do you still have questions? Feel free to visit our uninsured motorist accident page or call us to review your policy.
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