Whose name should a car be titled/registered in – the parents or their 18 year old daughter?

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Whose name should a car be titled/registered in – the parents or their 18 year old daughter?

We bought a car for my daughter when she was a minor. Now that she is of age, I assume it’s a good idea to transfer the title to her (and register it in her name and get her own insurance) rather than keeping it in our name, as this protects us legally if she has an accident. Is there any argument (other than the obvious that she will own it and not us) for keeping it in our name? I also assume that there is a good argument for getting it in her name (and not ours) in terms of protecting us from liability.

Asked on February 14, 2012 under Accident Law, Michigan

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

If your daughter is now an adult, I would have legal title to the vehicle she is driving placed into her name and have her obtain her own policy of insurance in her name. By having this done, your own exposure for personal liability beyond any policy of insurance that you might have would be significantly reduced in my opinion.


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