If you have a student that is away at school and for that reason no longer endorsed on your auto insurance policy you can be at risk. Many insurance policies carry an exclusion for non-endorsed resident drivers. A non-endorsed resident driver refers to a resident of a household which is not listed on the auto insurance policies of the household or any other auto insurance policy. This comes up most often with college students who maintain their parents’ home as their permanent address. Taking your child off your policy if they are away at school and do not have a vehicle certainly makes sense. But if the student maintains their parents’ home as their permanent address such can be considered as their residence under a Non-Endorsed Resident Driver Exclusion on the families auto insurance policy. If the student comes to visit and drives a family vehicle Collision Coverage may be waived under the policy exclusion. Collision Coverage covers damages to a vehicle which occur from the operation of the vehicle most often a collision with another vehicle. Fortunately, the Non-Endorsed Resident Driver Exclusion only applies to Collision Insurance.
If you have children that drive that are not endorsed on your policy you should check for this exclusion. This can be a costly oversight. At Anderson & Lopez we don’t want you to be left without coverage so check you policy now.