If your daughter lives in your household then yes, normally she would be required to be on your auto insurance policy in order to be properly insured. Insurance companies require that they are informed about all license household so they can be placed on the policy as drivers or sometimes so you can exclude the driver. However if you exclude anyone from your policy they have no insurance coverage at all if that person borrowed your car, even due to an emergency situation.

The North Dakota Insurance Department discusses the issue of why insurance companies include all household drivers when rating a policy. The ND Insurance Department first notes that motor vehicle liability insurance is mandated by law. Court cases have determined that this obligation extends to all family members in the household. This means that the insurance company would be required to provide coverage in the event of a claim. Therefore, the company rates for all potential drivers.

As we mentioned earlier ND law permits an insurance company to issue a policy with a driver exclusion. The law also allows the company to issue a policy with minimum limits of coverage for a specified driver while maintaining higher limits for all other drivers. A company is not required to exclude a driver, but may do so according to its underwriting program. So if you have a household member that you do not want on your policy you can exclude them if you want. However this would not appear to be what you want with your daughter if you want her to drive your cars.

As you know adding young drivers to your policy can affect your rates. This is because insurance rates are based upon statistics. Traditionally, less experienced drivers have shown significantly higher losses resulting in higher rates. Your premiums may not be affected if your seventeen yr old daughter only has a learner's permit, but will increase if she had obtained a full driver's license. If your daughter is just starting her licensing process then check with your agent or company to find out when she needs to be added to your policy.

So if your 17 year old daughter lives with you and is thus a licensed household member you should inform your insurance provider who will likely require you to add her to the policy so she is covered to drive your vehicle. If your teenage daughter does not live with you and only borrows your vehicle from time to time than she may not need to be added to the policy but you should check with your insurance company to find out for certain since insurance companies' guidelines differ regarding occasional drivers who borrow your car.

If you want to shop around for the best rates for you and your daughter you can get affordable auto insurance rate quotes here.