Insurance Coverage if Someone else is Driving your Car

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Insurance Coverage if Someone else is Driving your Car |  What if someone else has an accident while driving your car?

If you let someone drive your car and that person has an accident, your insurance company will likely be responsible for paying the claim, depending on what coverage you have in your policy. The claim would go on your insurance history and could affect your insurance prices in the future.


In most states, your policy will be considered the primary auto insurance coverage if a friend has an accident in your car, according to the Insurance Information Institute. This means that the coverage you have chosen in your policy would be extended to help cover the injuries or damage that your friend caused.

So if your friend is at fault for the accident, your liability coverage can help pay for medical bills and damage to the other driver’s vehicle. Your liability coverage would not pay for your friend’s medical bills or necessary repairs to your car.

If your friend caused damage to your vehicle and you have collision coverage, it can help pay for your vehicle repair. Remember that for this you must pay your deductible.

However, you cannot just assume that your insurer will cover the car accident. For example, some companies have exceptions for family members who live in your home. Other companies may provide coverage, but on a more limited level than if you were behind the wheel. That’s why it’s important to read your auto insurance policy carefully and understand what it covers before lending your car to someone else. If you have questions about this type of situation, talk to your agent to help you be sure.


If your insurer covers your friend’s accident, you may discover other things to consider. For example, what if the accident is very serious and the cost of the claim causes you to reach the maximum limits on your policy?

In that case, according to Claims Journal, your friend’s insurance policy can be used as secondary coverage to help cover the missing amount. So if your friend causes an accident that results in $ 35,000 of damage and your policy is capped at $ 30,000, your friend’s policy may be responsible for paying the difference ($ 5,000).

It’s also possible that even when your policy limits are high enough to cover a claim, your insurer is still trying to get your friend’s insurer to contribute. Your insurance provider can pay the entire accident claim and then contact your friend’s insurer to recover part of the costs. The details of how this is accomplished depending on the specific terms of the policy, coverage’s, and state laws.

There may be additional variables that are specific to your insurer, your policy or the state in which you live, so consider discussing your situation and your coverage with your agent to ensure that you are adequately protected.


If you are a licensed driver who does not have a vehicle, you probably should not have auto insurance. But what should you do if your friend lends you his car? Are you covered? Here are some points to consider: 

Insurance coverage if someone else is driving your car or your friend’s insurance can provide coverage if you have an accident.

You may be liable for certain types of damage, depending on what other coverage’s your friend’s auto insurance policy includes. For example, if it doesn’t include collision coverage, you may have to pay the cost of repairs to your friend’s vehicle if you have an accident.

You may be responsible for costs that exceed the coverage limits on your friend’s auto insurance policy.

If you’re planning to loan or borrow a car from a friend, it’s a good idea to review both insurance policies first. Your local agent can help you answer any questions about your policy or decide if borrowing your car is a good idea for you.

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