If you’re like most licensed drivers, you’ve thought about
the legality of letting friends and family borrow your vehicle. You know
that in order for you to drive legally, your automobile must have valid
insurance. But what if your friend wants to drive your car, but he or
she is not on your insurance policy? Will their automobile insurance cover
them automatically, or are they covered under your insurance policy?
A lot of drivers mistakenly believe that car insurance follows the driver.
If that were the case, if your friend borrowed your car, their auto insurance
policy would cover them in the event they were involved in a car accident
in your vehicle. Unfortunately, car insurance does not follow the driver
– it follows the car. So, if you decide to lend your car to your
friend or family member and they’re in a
collision, you would be on the hook.
“But what if my friend has excellent insurance with better coverage
than me?” As long as your friend is in an accident while
driving your car, your auto insurance would be the one to cover the damages from the accident.
Think Twice Before Lending Your Car
Thinking about letting your dad drive your car to the store while you cook
dinner? Considering letting your best friend from high school borrow your
truck on moving day? Want to let your fiancé drive your car while
he or she visits from out-of-town? If you’re considering letting
a friend, relative or co-worker borrow your car for a few hours, days
or weeks, you may want to think twice before letting them use
your auto insurance.
If someone else, who is not on your auto insurance policy, causes an accident
while driving your car, you will have to pay the deductible and you may
have to deal with auto insurance rate hikes. If your auto insurance is
insufficient to cover the damages, such as the other driver’s medical
bills, property damage, and lost income, then YOU can be sued.
Lending Your Car to an Uninsured Driver in New Jersey
Essentially, if you give someone permission to drive your vehicle and they
are in an accident, your auto insurance would be the primary coverage,
but your friend’s automobile insurance would serve as
secondary coverage, that is if they have coverage. If they are
uninsured, you would be liable for
all of the damages. Simply put, the vehicle driven by the at-fault driver is covered by the
insurance policy on the car. Insurance follows the car, not the driver.
Looking for a New Jersey car accident lawyer? If so,
contact Brandon J. Broderick, Attorney at Law at (201) 870-1909 for stellar legal representation.