Auto insurance is a requirement in most states. You either need comprehensive or basic liability to legally drive in some states while in others you need to provide proof of financial responsibility. It depends on the rules of your state's department of motor vehicles. If you're a married person, you may wonder if you also need to list your spouse on your auto insurance policy.
Is It Mandatory?
Though the rules may vary depending on the state and the insurance company, generally, one spouse's insurance policy does not necessarily have to show the other spouse's name. The person who drives and owns the car, as listed on the title and registration, is the party who must have his name listed on the corresponding policy. So if the title only shows one owner, that is the person who must be listed on the insurance policy. The policy name must match the name on the title so that the car owner can properly register it in the state.
Considerations
Even though the spouse does not always have to be listed expressly on the policy's declaration page, the insurance company may still ask for information about the spouse. The insurance company looks at the spouse's driving record when evaluating the policy and may include the spouse's name in the customer's file. If the spouse has a poor driving history, it could cause the insurance company to quote a higher premium rate. In fact, some insurance companies look at all household members when evaluating policy risk -- even if they are not listed as additional policy holders.
Additional Driver
The car owner can choose to list her spouse as an additional driver on a policy instead of as a co-policy holder in some cases. This is a common choice if the spouse does not own the car (in whole or part) but still drives the car at times. In case of an accident that occurs while the spouse is driving, the policy holder can feel free to file a claim with her insurance company .
Other Considerations
Even if the policy holder chooses not to list the spouse initially, he can usually add her name later if he chooses. For instance, if the spouse buys a car in the future and needs coverage, the policy holder can ask the insurance company to add her name and information about the new car to the existing policy. Combining two spouses onto one policy may offer savings compared to two separate policies.
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