Orlando, FL -- (SBWIRE) -- 10/29/2012 -- Parents of Florida teen drivers should not look to their auto insurance as a place to save money. Statistics show that teens are not only more likely to get into an accident, but also more likely to cause catastrophic damages.

Every parent's worst nightmare is that phone call from the hospital. Teen drivers are less experienced to deal with uncertainty on the road and also more likely to engage in high-risk driving habits like cell phone usage, high speeds, and texting. Teenagers that have multiple passengers are at a higher risk than teens driving alone.

Because teen drivers pose significant risk to an auto insurance company, parents are often faced with high auto insurance policy premiums after their children head for the highway. While tempting to do so, downgrading coverage to save money can lead to an expensive mistake. As the owner of the vehicle and guardian of the teenager, their actions can become the parents' liability.

“Parents are responsible for the actions of their children,” stated Floridainsurance.com. “Once they start driving, they could cause an accident that costs far more than the combined net worth of their parents, which could put a family into bankruptcy. Therefore, parents should increase, not reduce, their policy coverage after their children get driver's licenses.”

Auto insurance covers both the parent's owned property (the vehicle the child is driving) and the property of others. It also covers injury liability. While the state of Florida does not require vehicle owners to insure their own vehicles, they are required to carry liability coverage to cover the losses of others in the event that they cause an accident.

If a teenager is going to be driving in a high-wealth area like Boca Raton, Miami, Orlando, or coastal regions, they could be sharing the road with $100,000 performance cars. If they should cause an accident and damage one of those vehicles, their parents could be held liable for those damages, which would most certainly exceed the policy limits if they only carried minimum coverage.

In most cases, medical expenses and liability exceed the cost of property damage. If a teen driver causes a serious car accident or multi-car accident, the medical cost alone could surpass $50,000. The auto insurance policy should cover up to the maximum policy amount, but everything above that will have to come from the parents' assets.

When teenagers get behind the wheel, parents should make sure their Florida auto insurance covers the worst-case scenarios. Once the accident happens, it is too late.

To learn more about Florida auto insurance call 1.888.525.2210 visit http://www.floridainsurance.com