Hulk Hogan And Parents With Teenage Drivers
· by Matt Fox · posted March 25, 2008
· filed under Auto, Personal Insurance, Teenage Drivers category.
Hulk Hogan and his wife are being sued for their 17-year-old son’s car accident. Hogan’s 17 year old son Nick was in a car accident on Aug. 26, 2007. Nick lost control and ran into a tree. The passenger is critically injured and will require care for the rest of his life. The lawsuit hopes to prove Hulk and his wife Linda are liable for the negligence of their son.
As a parent, it’s scary when your kids start driving. You’re worried about their safety. You pray they behave responsibly. Plus, the price of your car insurance almost doubles.
Some people try to save money by placing the title of a car in the teenager’s name and making their teenage driver buy their own car insurance with minimum liability limits. The parents then exclude the child on the parent’s policy. This seems like a good idea because the child has little or no assets and a minimum liability only policy would lower their cost.
However, in Arizona we have something called the “Family Purpose Doctrine.” It has been held up in the courts that a parent is responsible for their teenage driver’s accidents (Click here to read the court opinion of Country Mutual Insurance v Hartley).
Now, only the court can determine what constitutes “Family Purpose” in a teenager’s accident. But, as a parent you may be better served to insure the child on your policy. And, if they carry their own insurance you don’t want to exclude them from your policy. If you exclude the teen driver on your auto insurance policy and the teen driver has an accident then you have no insurance company to pay for your defense costs or any portion of the claim.
If you have any doubt or still want to insure your child on a separate policy, consult your attorney. This practice will not insulate you from the actions of your child, as shown by Hulk Hogan’s son Nick. Their accident was in Florida so it will be interesting to learn the outcome of this case.
Or, get a quote from our agency and let us shop our “teen friendly” insurance companies to find better rates.
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