What is non-owner car insurance?

If you drive but don't own a car, a non-owner insurance policy provides liability coverage for bodily injury and property damage. It doesn't cover damages to the vehicle or your own injuries after an accident. However, it does cover you if you're liable for damages or injuries in an accident. Something else to consider is that non-owner car insurance rates are generally less expensive than standard policy rates.

Besides liability coverage, what else does non-owner's insurance cover?

A non-owner policy may also include medical payments and personal injury protection, uninsured or underinsured driver insurance, and rental car liability coverage.

How much does non-owner car insurance cost?

Non-owner car insurance typically costs less than what you'd pay for the same level of liability coverage on a car you own. However, this may vary depending on your driving history, where you live, coverage limits, and other factors. Also, keep in mind that any infractions on your record may impact the cost.

Can I get an SR-22 with non-owner's insurance?

An SR-22 is often required for driving privileges to be reinstated after certain traffic-related offenses. Even if you don’t have a car, a non-owner auto policy may fulfill your state's requirements for carrying insurance while also submitting an SR-22. Learn more about filing an SR-22.

Can you get car insurance without a car?

If you don't own a vehicle but plan to get behind the wheel of someone else's car, you should consider a non-owner car insurance policy. Non-owner insurance can help pay for damages or injuries you're liable for if the car owner's coverage limits are reached, or you aren't covered under their policy.

Other instances where you might consider purchasing a non-owner insurance policy:

  • Using a car-sharing service: A non-owner policy may make sense if you frequently use car-sharing, as it gives you liability coverage beyond what the company provides.
  • Renting cars a lot: A non-owner car insurance policy may be cheaper in the long run than purchasing liability coverage from a rental company every time you rent a vehicle. It won't cover any damage to the rental car, but you may be able to buy a collision damage waiver from the rental company. Learn more about rental car insurance.

What happens if someone else is driving my car and gets in an accident?

When an uninsured driver borrows an insured car:

Depending on the insurer and the situation, you may be covered if you give an uninsured driver permission to drive your car, and they cause an accident. Your liability coverage can pay for damages up to the limits of your policy. If you have collision coverage, your insurer may also cover the damage to your vehicle. If another driver causes the accident, their insurance will be responsible for the damages.

When an insured driver borrows an uninsured car:

If you lend your uninsured car to someone who has insurance, their policy will usually cover any damage or injury they cause to someone else. However, damage to your vehicle likely won't be covered. You may also be liable for some of the damages if the driver's insurance doesn't cover the full amount.

When an insured driver borrows an insured car:

Your vehicle is covered, but based on the circumstances of the accident, damage, and policy coverages, it may vary as to whose insurance company will handle the claim.

So, does auto insurance follow the car or the driver?

Generally speaking, car insurance follows both the car and the driver. As in the example above, if your friend borrows your car, both your insurance and their insurance would apply in the event of an accident. But whose insurance pays out, and in what amount, will vary based on the language of both policies, as well as the details of the accident.

Does my insurance cover other drivers who aren't on my policy?

If the borrower has your permission to use the vehicle, your insurance company will generally cover any damages that result from an accident they cause. However, this may vary based on the accident, damages, or coverage limits. It's best to contact your auto insurer if you have any questions about how your policy works when loaning a car to someone.

Can you get car insurance without a license?

If you own a car but don't drive, you may be able to purchase a policy and list yourself as an excluded driver. That ensures the vehicle, and anyone else listed on the policy (such as your spouse or children), will have the necessary coverage. However, many insurers are wary of taking on customers without a license, and some states require at least one licensed driver to be listed on a policy.