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Answered 2007-01-02 03:14:27

Yes, if she is in an accident on your policy you are responsible if she wrecks her car your rates will go up accordingly, if the accident goes to law suit you and her will be paying the price. If she is living in your house after an accident you will still pay astronomical prices for her even if she is no longer on your policy. You will have to prove she lives elsewhere before your insurance will go down. The best thing is for her to get her own policy, usually ins companies will discount hers if members of the family have policies written with them. It's the price to pay for driving privileges.

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