Auto insurance is a critical investment for any person who plans to be behind the wheel. If you are a licensed driver, you should have a car insurance policy even if you do not have a vehicle.
The question many people have is whether an auto insurance policy follows the driver from car-to-car or the vehicle’s use by multiple drivers.
Any policy related to the car itself will remain with the car. For example, if your friend is driving your vehicle with comprehensive coverage, and a tree falls on that car, your policy will cover the damage to the vehicle from the tree. In this instance, your property insurance on the vehicle is there to protect that vehicle.
Collision insurance is another type of property-based coverage. Your collision insurance only covers your vehicle specifically. It does not cover another vehicle if you are driving it.
Liability insurance is a bit more personalized. This type of auto insurance follows the driver, not the vehicle specifically. Liability insurance protects the driver of the vehicle no matter who is behind the wheel. All states require liability insurance for any vehicle (except for New Hampshire).
Also, liability coverage protects the policy owner when operating a vehicle owned by another person. If you drive your friend's car and cause an accident, your liability insurance will help cover the damages.
However, there are limits to this type of coverage. First, each state has rules on this type of coverage. If you allow another person to drive your vehicle, you may be agreeing to allow your car insurance to cover that individual as well. Other policies have specific language in them that does not allow for coverage of other drivers. This is often very much the case in situations where the vehicle is present and available to the driver on a routine basis (such as someone living with you). In this case, you should add the individual to your policy as a driver.
Though car insurance policies can be confusing in this area, one thing is for sure. If you get into someone else’s vehicle, be sure you’re covered with a comprehensive insurance plan.
Get in touch with us today. We can get both owners and non-owners the Miami car insurance that they need. Go online now for a fast, free quote. Give us a call at (305) 264-8964 for more information.