Am I Insured if I Drive Someone Else’s Car?

Driving someone else’s car can sometimes lead to uncertainties about insurance coverage. Whether you’re borrowing a friend’s car for a quick errand or driving a family member’s vehicle regularly, understanding your insurance situation is crucial to avoid potential financial and legal complications.

Understanding the Owner’s Insurance Policy

The following details of the vehicle owner’s car insurance coverage may be important when determining whether you have coverage for a borrowed car:

• Permissive use—In many cases, if you have permission to drive someone else’s car and the owner has insurance, their policy will typically extend your coverage as a permissive driver. This means you may have coverage under the owner’s liability insurance for damages you cause to others and their property.
• Coverage limits—Liability insurance pays for covered accidents only up to the policy’s limits. Ensure the limits are high enough to cover potential damages, and if you don’t feel comfortable with the vehicle owner’s liability limits, consider adding coverage through a separate policy.

Check with the vehicle owner about the specifics of their insurance policy. Coverage limits and details may vary, so understanding what is covered can prevent surprises in case of an accident.

The following exceptions to coverage may exist:

• Excluded drivers—Some insurance policies explicitly exclude certain drivers from coverage. If you are excluded from the owner’s policy (for example, due to a history of accidents or violations), you will not be insured while driving their car.
• Unauthorized use—If you drive a car without the owner’s permission, their insurance may not cover you. This could lead to personal liability for any damage you cause.

Non-Owner Auto Insurance

If you frequently drive someone else’s car and want more comprehensive coverage, you might consider non-owner auto insurance. This type of policy may help provide liability coverage when you drive a vehicle that you don’t own. It can also offer protection if the owner’s insurance limits are insufficient.

Considerations for Borrowing a Car

Before driving someone else’s car, ask the owner about their insurance coverage. Confirm whether you are covered under their policy and understand any limitations.

Insurance policies often extend coverage to occasional or emergency use of a borrowed car. However, definitions of “emergency” may vary, so it’s wise to clarify with the insurance provider.

If you frequently rent cars, check if your personal auto insurance or credit card provides coverage for rental vehicles. This can help avoid purchasing unnecessary rental car insurance.

Contact Us

The Plemons Insurance Agency can help determine whether you need additional coverage for borrowed or rented vehicles. Contact us today to discuss your car insurance options.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.