Getting a driver’s license is a rite of passage for many teens. It is a critical step toward independence and adulthood. However, the typical teenage motorist lacks experience. They also have insufficient personal resources to cover the likely costs generated by a major car crash.
In scenarios where teen drivers are at fault for a collision, their parents and the people affected by the wreck may have questions about what happens next. Injured parties may want to hold the parents of the teen driver responsible, while the parents may worry about their financial exposure. When people understand parental liability in a teen collision scenario, settling a related matter can be easier to achieve.
Do parents pay for crashes caused by their children?
Parents and guardians typically need to sign the driver’s license applications of their underage household members. Doing so makes them potentially liable if their underage driver causes a wreck.
Vicarious liability rules established under state law may make parents responsible for the financial impact of a collision caused by a teenage driver. Thankfully, the law does usually limit a parent’s financial obligations for a teenager’s crash.
Statutory limitations may include $5,000 in property damage liability and either $15,000 or $30,000 in bodily injury liability, depending on the number of people hurt. Additional liability may exist in scenarios involving high insurance limits or credible claims of negligent entrustment.
When is a parent negligent for letting a teen drive?
The legal concept of negligent entrustment involves allowing a clearly unsafe situation to unfold despite being aware of the risks. A parent may face accusations of negligent entrustment in cases where they let teen drivers take a car out on public roads despite their proven incompetence at the wheel or history of reckless behavior.
If the injured party can show that a parent knowingly let an incompetent or reckless teen driver out on the road, they may potentially be at risk of unlimited damages if that teenager causes a crash that injures others. Most of the time, insurance and the law limit the financial exposure of a teen driver’s parent.
Covering the cost of a crash caused by a teenage motorist can be particularly challenging for parents and crash victims. Reviewing the circumstances of a teen driver’s recent car wreck with a skilled legal team can help those involved in the situation understand their risks and rights given the unique circumstances of the wreck at issue.