In Massachusetts, in order to best protect assets, parents may want to consider registering and insuring a vehicle in their child’s name.
In MA parents are provided 100% insulation from lawsuits arising from bodily injury or property damage claims.
Mass. MGL Chapter 231, section 85A: “If a car is registered to the child and the child gets into an accident causing personal injury and/or property damage, there is no reponsibility on the parent. It does not make any difference who bought the car or who pays for the insurance, or how old the child is so long as we are talking about negligence.”
On this basis, it might make sense to register and insure the vehicle they drive in their name.
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