You’re Driving Your Friends Car and Are in an Accident – Whose Insurance Pays?
Accidents can happen at any time. If you are driving a friend’s car, or if you allow a friend to drive your car, it can be hard to know whose auto insurance pays for the loss. The simplest way to determine this is to remember one fact. In most circumstances, car insurance follows the car, not the driver. There are some differences here based on the type of car insurance. Let’s take a closer look at this idea.
When You Lend Your Vehicle, Your Insurance Goes, Too
Under most state laws, you purchase insurance for your car. This means your car insurance becomes the primary insurance no matter who is behind the wheel if the vehicle is in an accident. The coverage you select for your vehicle will help cover the other driver. Here are a few things to keep in mind.
You cause an accident. You are at fault in the accident. You cause damage to someone else’s vehicle in the accident. You are driving your friend’s car. In this case, your friend’s auto insurance will be responsible for covering the losses to the other party’s vehicle. Auto liability insurance will pay for the other driver’s losses.
In situations where collision insurance is present, there may be more coverage. For example, in this case, there may be damage to the car itself. If your friend’s car hit another vehicle, for example, collision auto insurance may help to pay for damages to it. This type of coverage specifically protects the vehicle on the policy.
When it comes to the medical bills you experience, there may not be coverage for this. That is, there may not be coverage from your friend’s auto insurance policy for any medical bills you suffer. Remember, auto liability insurance only covers other people.
It is also important to note this type of coverage will differ from one policy to the next. Read through the details of your policy to ensure your fully know what to expect. Your car insurance agent can provide some clarification for you. You will also gain insight based on the overall features of your policy. Read through it. If you borrow your friend’s car, be sure to learn more about the protection you have. At the same time, if you borrow frequently, it may be beneficial to have your friend add you to their policy. This can provide even more protection.