by Rami S. Illinois auto insurance agent in Chicago

Non owner insurance is an auto insurance coverage that offers bodily injury and property damage to others while operating other people's vehicles. Coverage offered is for liability and no physical damage is offered for the vehicle that is being operated. There are several uses for non owner auto insurance which may include:

1. A large portion of  people who get a personal non owner auto insurance policy do that to comply with certain requirements, to get an SR22 or financial responsibility at a time when they do not have a vehicle to insure. The non owner auto insurance policy that you get and filed with the State is referred to as a 'Non Owner SR22 Insurance'.
2. A very small portion of people will get the non owner as an extra protection to be used in connection with them driving other people's vehicles.

Common Problems Associated With Non Owner Insurance

The major problem affiliated with the non owner insurance is that the 'non owner will cover you on any vehicle that you own.' While this statement is very true, notice that the word 'you'  does not mean the 'vehicle' you are driving. State laws require the 'vehicle' to be covered. For that reason, if you drive an uninsured vehicle you will be breaking the law, even if you have the proper non owner insurance.

Non owner insurance is called 'Excess Insurance', which means it will pay after some other 'primary insurance' is exhausted. Regular auto insurance is a primary insurance, which means that any time there is an at fault accident, the vehicle insurance, not any non owner, will have to be used first. For that reason, if you get in a car accident using your Dad's 2011 Cadillac vehicle which has full coverage, your Dad's carrier may not pay if you are not listed on his policy, and your policy may pay only the liability portion of the damage (will not fix your Dad's vehicle).

Another common problem associated with personal non owner insurance is business use.  While there is a similar business coverage that exists on most business owner policies, this personal non owner insurance will not cover any thing if the insured person was using a vehicle for business purposes such as delivery, or messenger service.

A non owner policy should never be looked at as a primary coverage. It is there to provide 'excess protection' or extra protection in case the main insurance does not offer coverage under the circumstance.
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