Do I Have to Put My Roommate on My Car Insurance?

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do I have to put my roommate on my car insurance

Does your roommate ever borrow your car? If so, you might find yourself wondering if they need to be added to your car insurance policy. 

Car insurance alleviates a lot of the financial risks of owning a car. It’s also a significant financial safety net that protects one of your biggest assets, which is your vehicle. 

Today, we’re looking at the advantages and disadvantages of putting your roommate on your car insurance policy! 

Who do I have to include on my car insurance policy?

You are required to include anyone who could potentially drive your car on your car insurance policy. Whether that is your spouse, your children, other family members, or even roommates, anyone who drives your car regularly needs to be named on your policy. 

Car insurance companies want to evaluate all of the people you want to add to your insurance before they will assign you a rate for your car insurance. However, if you feel confident that your roommate will never drive your car, you don’t have to add them to your policy. 

The specific rules that apply to your insurance policy will vary based on where you live. So, check-in with your car insurance company to be sure and learn more. 

Who qualifies as a roommate?

Anyone who lives with you, even temporarily, is considered a roommate. This can include children or family members who are around part-time as well. People who live with you are considered part of your household, and therefore, they are your roommates. 

Can roommates share car insurance?

Yes! Roommates can share car insurance, but there are a few things to consider before going this route. First off, you should only do this if it benefits both parties. So, if your roommate has a poor driving record or a bad credit score, it’s not going to benefit both parties. 

Car insurance is expensive, so you’ll want to take extra care to make the right financial decision. It may be worth adding your roommate as a potential driver rather than having their name on the policy itself. Adding a driver to car insurance simply states they may drive your car, but that’s the extent of it. 

Can my roommate drive my car if they aren’t on my policy?

The answer to this question depends on your specific insurance policy, but we’ll go over general situations. If your roommate isn’t already a car insurance member of your policy, then they won’t be covered under your policy if they get into an accident while driving your car. That’s why you need to consider who you list on your car insurance policy. 

Pros and cons of roommates sharing car insurance

There are many advantages and disadvantages of adding your roommate to your car insurance. Let’s weigh the pros and cons! 


The most significant advantage of adding a driver to car insurance is the savings potential. Your roommate could bring savings if they are a good driver, have excellent credit, or simply own their car since there is usually a multi-car discount. It also adds a bit of flexibility to your household because it allows you and your roommate to use each other’s vehicles.  


The biggest disadvantage of putting your roommate on your car insurance policy is that it could cost you more money. It can be more expensive if your roommate has poor credit, a bad driving record, or a more expensive car in terms of how much it costs to insure. 

You could also be dropped from your policy completely based on how your roommate drives. So you need to evaluate if adding your roommate to your policy will benefit you. 

Things you should consider when adding someone to your policy

There is a lot to consider when shopping around for an insurance policy. When evaluating whether or not to put your roommate on your car insurance, consider all of the following factors! 

Potential savings

It can be hard to save money on car insurance. But when you add your roommate to your car insurance policy, you can save money with ease! There are a few reasons for this, especially if they have a good credit score, solid driving record, or a car that is cheap to insure. 

Potentially higher rates

You could also pay a higher rate for the exact opposite reasons as those mentioned above. This could be the case if your roommate has a bad credit score, poor driving record, or a car that costs a lot to insure. So, it’s essential to consider these factors in order to determine whether or not you’ll get the best rate possible. 

Multi-car discounts

Most car insurance companies offer multi-car discounts. That’s a great feature to take advantage of but your roommate will also have to own a car to get a multi-car discount. You’ll need to make sure the multi-car discount is worth it, especially if your roommate has a bad credit score or a poor driving record before you label it as a sound financial decision.  

Loss of discounts

You can lose out on discounts if your roommate has experiences that hurt their driving record while sharing a car insurance policy with you. Say your roommate gets into a fender bender and receives a speeding ticket as a result. Your car insurance company will lump the two of you together, meaning you’ll be penalized as well. 

Ability to use either car

Adding your roommate to your car insurance will provide you with a lot of flexibility. If you need to have the ability to use either car, then a joint insurance policy may be for you. If one of you is having car troubles, it can give you the ability to easily use each other’s cars. 

List your roommate as an excluded driver

If you do not want your roommate to be on your policy, you should list them as an excluded driver. This will protect you because it means you are explicitly telling your insurance company that this person lives in your household and you do not permit them to drive your car. 

Are you worried about your car insurance rates?

Are you getting high quotes for car insurance? It may be a result of your credit score. If you fix your credit score, you can lower your car insurance rates, and MoneyLion can help you get started.  

The MoneyLion Credit Builder Plus program can help you raise your credit score in a very simple way. All you have to do is pay off your twelve-month loan on a monthly basis. We’ll report your progress to the three major credit agencies, and your credit will improve with each on-time payment.

You’ll receive your money at the end of those twelve months, too. Not only does this help you improve your credit score with ease, but it also allows you to save money while you do it. Give our Credit Builder Plus loan a try today!

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