Can You Get Car Insurance With a Driver’s Permit?

If you're learning to drive, you may not need a policy yet. If you're behind the wheel of a family member's car while practicing, you're most likely covered by their policy.

The main situation in which you would need a policy before you're licensed is if you already own a car.

Car insurance for young and inexperienced drivers can be very expensive. Typically, drivers who are still learning get the best rates by sharing a policy with a family member who has more experience. And not all companies sell stand-alone policies to people under 18.

If you're trying to buy a car without a driver's license, you can do that, too, but you'll need an auto insurance policy to register and drive the car.

How to get car insurance with a learner's permit

The most affordable way to get car insurance with a learner's permit, also called a provisional driver's license, is for a family member to add you to their policy. For example, car insurance for a 16-year-old is over $3,000 less per year if you're added to a family policy rather than buying your own.

You can do this whether you share a car with a parent or other family member or have your own car. The only potential hurdle is that you need your family member's permission. They're taking on some of the risk by sharing their policy with you. If you get in a crash, the cost of the entire policy will likely go up.

The fastest way to get covered in this situation (once the family member agrees) is to call the company and ask them to add you to the existing policy. But we recommend calling a few places to find the cheapest car insurance policy. One company might offer discounts another company does not. You may also want to look at regional or local companies, who sometimes allow you to get car insurance without a license.

Getting your own policy

If you live alone or no one is able to add you to their policy, you'll need to buy your own car insurance. This will likely be very expensive, as younger, less experienced drivers are much more likely to be in an accident. Insurance for a 16-year-old alone can cost as much as $6,469 per year.

If you're in this situation, take extra time to get as many quotes as you can. It's the only way to ensure you're paying the best price.

Do you need car insurance with a learner's permit?

People learning to drive generally don't need to buy their own insurance.

If you're learning to drive, you're most likely practicing in a family member's or friend's car, with an experienced driver in the passenger seat. In this case, the car owner's policy most likely covers you.

But it's a good idea to call the company to confirm this. And keep in mind that if you live with the owner of that car, you'll need to be added to the policy once you've passed your license exam, regardless of whether it's family or just a roommate.

You need a policy if you own your own car

The main circumstance when you would need car insurance with a learner's permit is if you own a car, whether it was a gift from a parent or something you bought before getting your license.

Car insurance is required in nearly every state. In most cases you'll need to buy a policy before you can register a vehicle and get license plates.

Unfortunately, car insurance is very expensive for young and inexperienced drivers. Insurance for a 16-year-old costs much more than for a 30-year-old.

Can you register a car without a driver's license?

You don't need a driver's license to buy a car. However, proof of auto insurance or financial responsibility is a requirement for vehicle registration in most states. This means that if you are uninsured or have a learner's permit, you could buy a car. But it would serve little purpose, since you couldn't drive it on public roads.

If you have a suspended license and a car insurance policy, you can register the car but not drive it. In fact, driving with a suspended license could mean fines and even jail time, depending on the state where the violation happened.

How parents can lower their car insurance costs

Adding a young driver to your auto insurance policy often results in higher rates for you. If you are adding a provisional driver, especially a teen, to yourplan, the most important thing you can do is get quotes from at least 5 insurance companies. When you have a teen driver on your policy, auto insurance prices may vary by hundreds of dollars per year.

Car insurance companies often offer discounts for safe driving, bundling car insurance with other policies, adding vehicles to the insurance plan or having a car considered safe. While there are dozens of discounts available, the most common are: