Auto Insurance Claims: policy premiums, policy premiums, daughter lives

Question
My husband and I had an excellent rate on our auto policy. My daughter, age 20, recently received her license, so she was added to the policy. When she was 18, she received an underage drinking citation. She did not even have her permit at the time, but it is still listed as a motor vehicle violation. As this was discovered our rates on the whole policy went through the roof.
Why would my husbands' and my rates go up?  Shouldn't my daughters rates only be affected? She has her own vehicle-or do the companies feel she could possibly use one of our cars putting our vehicles at risk?  Thanks for any input.

Answer
Hi Stacee,

You are correct. Because your daughter lives in the household, she is considered to have access to all of the vehicles on the policy. Because drinking is such a serious offence and insurance company will increase the rates significantly to offset the risk.

It would be appropriate for you to require your daughter to pay the full increase in premium since it was her actions that caused the increase. If she is not working and earning money, it would be appropriate to have her do several chores on a daily basis for the next 3 years. This is a good learning opportunity. Actions have consequences.

I hope this helps
Richard Hixenbaugh