Whether you don’t own a personal vehicle or if it’s in the shop, you may have to borrow a friend or family member’s car for the time being. Naturally, if you don’t have your vehicle, you may not invest in auto insurance since there is no car to insure. A question that insurance companies are constantly asked is, “Can I drive someone else’s car without insurance?” The short answer is yes, but there may be discrepancies.
There may be instances, such as an emergency where you have to drive or when you need to run some errands, in which you’ll find yourself behind someone else’s car. The good news is that you’ll be covered by the car owner’s auto insurance policy.
Remember when we mentioned that since you have no car, there’s no need to buy car insurance? A car insurance policy insures the vehicle, not a specific driver. Because auto coverage applies to the car and not the person, you only need the owner’s permission to drive their vehicle.
Consent to drive the car means that you would be covered under the owner’s policy. But are there coverage limits, and how much insurance do you have? Here’s everything you need to know about insurance when driving someone else’s car.
How Can I Drive Another Person’s Car Without Insurance of My Own?
All you have to do is ask the car’s owner to borrow their vehicle. Once you get approval, the insurance policy they put on the car will apply to you as the driver. Think of it this way: when you use someone else’s car, you also use their insurance policy.
This includes their liability coverage for damages and injuries you cause to another. This kind of coverage is required by law, so you may be unable to drive without insurance in some states.
This is called “permissive use,” and it’s valid for all types of auto coverage. Suppose the owner of the car has had a collision and comprehensive insurance. In that case, you’ll also be covered on those fronts while you’re behind the wheel, as long as you have their permission to use it.
Comprehensive coverage would insure you if an outside factor damages the car while it’s parked –anything can happen while you’re running an errand. Collision insurance coverage would cover damages to the borrowed car regardless of fault. If the policyholder also has uninsured motorist coverage, that would apply to you while driving.
What Happens When I Get Into an Accident With a Borrowed Car?
Since the vehicle owner’s policy covers you, the coverage you would receive depends on the policy limits they chose. Suppose you’re responsible for an accident while driving the borrowed car. In that case, the owner’s liability coverage will pay for damages up to those limits.
If another driver hits you, their insurance should cover the damages and injury as if you are the car’s owner.
At that time, the car’s policyholder and owner will file a claim with their insurance company. As with all accidents and claims, policyholder premiums will see an increase.
There’s no additional rate hike for the policyholder not being present in the car –. However, it must still be more significant to make drivers hesitant to lend their vehicles. Once you purchase your own auto insurance, you’ll understand it on a personal level.
When Would I Not Have Coverage in a Borrowed Car?
Before asking a friend or family member if you can borrow their car, consider if you’re listed on their auto insurance policy. This may be the case with family members and less with friends.
Some insurance companies may let this slide, but others may require you to be officially on the policy.
Here are other reasons why you may not be insured while driving a borrowed car:
- No permission - It wouldn’t be permissive use if you didn’t have permission. When the car owner files a claim, they must prove they lent their car.
- Excluded driver on policy - This doesn’t mean your name isn’t on the auto policy. It means that you are not supposed to be on the policy at all –excluded. This is a rule in the policy and, if broken, can further increase premiums.
- No driver’s license - Besides the obvious legal consequences of driving without a valid license, insurance will not cover you in someone else’s car or otherwise.
- Driving under the influence - The damages you cause driving in a borrowed car while under the influence aren’t covered by insurance. As you can imagine and are aware of, drinking and driving also warrant heavy legal consequences.
What if I’m given a Ticket while Driving a Vehicle I Don’t Own?
Speeding tickets aren’t as significant as a collision with another driver because they don’t even affect insurance or rates. That being said, your driver’s record or history will be marked up for something like a speeding ticket.
This is common for most minor traffic violations like parking tickets as well. However, it helps to be mindful and treat every violation like a major one when driving someone else’s car.
Is Non-Owner Car Insurance Policy a Good Choice?
If you have yet to hear, non-owner car insurance is an excellent option for drivers without their own cars. While typical car insurance policies cover the vehicle itself, non-owner auto insurance covers the drivers themselves. It typically includes liability insurance for property damage and personal injury to the other driver and a car accident where you were at fault –the state’s required liability insurance.
In addition to that, you may be offered policy add-ons like uninsured motorists and comprehensive and collision insurance. Ask the insurer what they include on their non-owner policies.
You may buy non-owner car insurance if you are a driver who:
- Drive another’s car a lot - Having non-owner car insurance helps if the car owner’s insurance has low coverage limits. While it covers the designated amount, you may be responsible for the remaining balance. Non-owner insurance covers said remainder for you.
- Rent or lease cars a lot - Rental car companies often sell their own auto insurance, but buying non-owner insurance may be the cheaper option. This would be wise for drivers who rent cars for more than a week yearly.
- Between vehicles - It’s not being between cars that cause lapses in coverage. It’s canceling your auto insurance during that time. But understandably, you don’t want to pay a lot for auto insurance when you’re not driving your own car. Instead, invest in non-owner insurance for the time being.
- Insurance after a DUI - Non-owner car insurance can be a viable form of auto insurance after a DUI violation wherein you must carry an SR-22, which certifies your financial responsibility for your insurance until your license is reinstated.
The Most Important Things to Know About Borrowing Someone Else’s Car?
At this point, we’ve covered all aspects of borrowing another’s car and driving insured. It’s good that insurance companies are aware that people often share cars. That’s the reason why they have permissive use.
So, always ask your friends and family for permission to use their car, not just to be courteous. Hence, their liability insurance applies to the vehicle while you are driving. Any damages and injuries will be covered to the policy’s limit.
Remember that accidents and the owner having to file a claim cause rates to rise when driving. Your friend or family member must pay more to keep their car insured. It’s best to treat the insurance penalties as if they were your own and drive safely.
However, you may desire additional coverage or borrow cars a lot. In that case, non-owner car insurance may be worth looking into. In some cases, it may be the cheapest form of insurance until you get your own car.
Talk to your household and insurance company to see if you are listed on the vehicle’s auto policy. Remember that car insurance applies to the car and not the driver, and the best drivers are safe drivers. Do you have more questions on this topic? Read about Rental Car Insurance and Does Car Insurance Follow the Car or the Driver?
