18 years old: changes in insurance

The transition from childhood to adulthood can be surprisingly quick. Before you know it, they are trading sandcastles for sunny vacations in the Greek islands. As your children grow, so do the financial aspects. But what happens to insurance when your child turns 18? It turns out that not all insurance policies remain in effect as a matter of course.

The following is an overview of the various insurance policies and the impact of maturity on coverage. We assume you already have these policies in place, with family coverage.

• Health Insurance
  

  Children are usually co-insured for free on a parent's health care policy until their 18th birthday. But from age 18, your child must start paying premiums themselves, even when switching to another insurer. The transition to adulthood makes young people an interesting target group for health insurers. Your child may be able to find more advantageous health insurance elsewhere. Keep in mind the terms and conditions, however, as budget policies sometimes have restrictions.

• Contents insurance
  

  Even when adult children cause damage in the home, contents insurance provides coverage. If your child moves into a room, it is wise to have their own contents insurance. Even in a student room there are valuables such as laptops, smartphones and audio equipment. An average student contents insurance policy can be purchased for as little as a few dollars a month.

• Car Insurance
  

  Once your child has a driver's license, he or she may occasionally use your car without reporting it to the insurance company. However, if your child starts using the car more often, this must be reported. In this case, your child must be listed as an additional driver on the policy, which could potentially result in a higher premium. Does your child have his or her own car? Then the car insurance must be in his or her name.

• Travel insurance
  

  As children get older, going on vacation together with Mom and Dad becomes less attractive. Many insurers accept the parental policy even if your child travels independently. This often also applies to children who live in rooms. Be careful of the terms and conditions, though, because some insurers have a maximum age for automatic coverage for children.

• Legal expenses insurance
  

  With maturity, legal issues can also become more frequent. Consider situations such as an expensive purchase without delivery, or a sudden rent increase on a student room. In many cases, your child is co-insured on your own legal expenses insurance, though often up to a certain age limit.

• Liability and accident insurance
  

  As long as your children live at home, they are covered under your liability insurance policy (with family coverage). This also applies if they move into rooms while they are studying. The same protection applies to accident insurance.

If your child is about to turn 18, it's good to go over together what steps need to be taken. And while you're at it, this is an excellent time for a thorough review of your own insurance policies. If you need help evaluating your insurance policies, our experts are ready to help. Contact us here!