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The auto insurance rate is influenced by the drivers of the insured car.
These drivers are categorized into 2 types, principal drivers and occasional drivers.
-> is the person who is the most frequent in driving the car.
Most of the time, the principal driver is considered as the owner of the car.
However, there are other cases where the principal user is not the car’s owner, such as rental car and taxi service.
Compared to occasional driver, principal driver usually has a lower auto insurance rates.
OCCASIONAL DRIVER
-> is the person who drives the car on a regular basis but is not the pricipal driver of the car.
To put simply, occasional driver is the person who drives the car apart from the principal driver of the car.
Most insurance companies rate occasional drivers based on the age.
For example, occasional driver who is under the age of 25 will have higher rates
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When applying for an auto insurance, all drivers in the household must be declared.
This includes any driver who is already insured on other car insurance policy to avoid being charged.
You might also interested in the 6 Tips to Reduce Your Car Insurance Premium