Your elderly neighbor has to run a quick race, so you lend him your car. He destroys it. Now what?
What is happening when someone else crushes your car depends on different factors, especially if you live in a state of fault or without fault, whether you have given the driver’s authorization, and how the cars and drivers involved in the accident are insured.
Let’s review financial responsibilities when someone who is not part of your assurance policy plants your car so that you know precisely when you are protected after putting your keys.
Learn more: What to do after a car accident: your guide step by step
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In the States in force, the driver who caused the accident is responsible for damages and the resulting medical invoices. Currently, 38 states have a fault system.
Consult our table: Do you live in a state of lack or without fault?
In practice, insurance companies – not drivers – cover car accident costs. The car insurance policy generally covers the driver on the fault, even if the driver does not have this car. So if your friend borrows your car and destroys it, your Policy normally accepts the complaint.
If the person who borrowed your car has not caused the accident, financial responsibility is the other driver involved. The insurance of this driver should pay the damage and injury. If the driver at fault has no insurance, your police may pay the repairs if you have uninsured motorist coverage.
Learn more: What’s going on if you don’t have automotive insurance?
Where things can be complicated, it was when the driver in fault that borrowed your car was specifically excluded from your insurance policy or that you have not given permission to use your vehicle.
Your insurance company will not accept the complaint if the driver who caused the accident has been excluded from your police or has not obtained authorization. Worse, you can personally be responsible for letting the driver excluded use your car.
Insurance companies will have to know if the other driver had permissive use or non -permissive use of your vehicle.
“Permissive use” means that you leave someone who is not on your policy drive your car. When you give permission and your police include permissive use coverage, your car insurance applies to the approved driver. In this case, your insurance company would accept a complaint for the accident.
The assurance of the loan driver is only involved if the cost of damages exceeds your police limits.
Expert Advice: Contact your insurance company and ask if the permissive user coverage is part of your police. You will never know when a neighbor or a friend may need to borrow your car from the pinch, and the last thing you want to worry is whether your car insurance is enough to do it.
Learn more: To what extent does car insurance increase after an accident?
Non -permissive use means that the other person has driven your car without your consent. Your insurance will not pay the accidents caused by someone who has used your vehicle without authorization. The loan driver will be responsible.
In the 12 flawless states, as well as Washington DC, drivers use their own insurance to pay injuries – no matter who caused the accident. In faultless states, it does not matter that your friend who led your car caused the accident. Generally, faultless states require medical coverage, called protection against bodily injuries (PIP), and material damage is covered by the driver’s civil liability insurance.
However, automotive insurance in faultless states will not cover the accident on the following conditions:
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The driver is excluded from the coverage of your policy
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The person who led your car did it without authorization
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The resulting damage exceeds your police limits. The assurance of the loan driver can pay the exceeding.
Learn more: What is faultless car insurance and how does it work?
There are 12 states without fault:
1. Florida
2. Hawaii
3. Kansas
4. Kentucky
5. Massachusetts
6. Michigan
7. Minnesota
8. New Jersey
9. New York
10. North Dakota
11. Pennsylvania
12. Utah
The drivers of Kentucky, New Jersey and Pennsylvania can opt for insurance or without fault.
When you lend your car, you also lend your car insurance. Remember this when you put your keys to someone else. Your insurance is generally the first to receive invoices for any accident. This means that you will pay the deductible and, potentially, higher insurance rates.
You can negotiate these costs with your friend later, but there is no guarantee that you will succeed.
Whose insurance pays for damages if I was driving someone else’s car and I was putting an accident?
Usually, the insurance of the owner of the car pays damages when a driver borrows a car and puts himself in an accident. There are three main exceptions. The insurance of the owner of the car will not pay the damages if you are excluded from the owner’s police, you have not obtained permission or if you live in a state of fault and that someone else caused the accident.
What happens if a friend drives your car and knocks someone else?
If you live in a state of fault and a friend strikes someone by driving your car, your insurance will probably pay the complaint. If you live in faultless condition, the other driver should have insurance against injury injury to cover medical bills.
Does permissive automobile insurance cover my friends and family?
Automobile insurance for permissive use can cover your friends and family. All insurance policies do not include automotive insurance coverage for permissive use. Check with your carrier to confirm.
Know that permissive use means that you occasionally Let an individual drive your car. If your brother uses your car every week to go shopping, your insurance company can refuse permissive use request. In this situation, remember to put your brother on politics as a covered driver before accidents occur.
This article was published by Tim Manni
