While loaning your car to a friend may seem like a good deed, it can carry some heavy legal consequences if an accident occurs. According to the legal team at Curt Davis Law Office PLLC in Somerset, KY, most car owners are unaware of their liability when another driver is behind the wheel. As an accident attorney will attest, it’s important to understand your rights and obligations when you loan your car because when trouble occurs, it likely falls on you.

In court, an accident attorney can deem you responsible for a car accident caused by someone driving your car. The law refers to this as “vicarious liability.” If your name is on the registration and the insurance paperwork, you are the owner of the car and considered so in court.

Although the person you lend your car to may act irrationally and cause an accident while you aren’t present, you can still be labeled responsible for their behavior and therefore the target of a lawsuit. This applies to both friends and family members. The only exception is if your car is stolen, as you had no control over providing consent to another person to use your vehicle.

It’s also important to understand how your insurance works in this situation. Typically, anyone living in your home and considered part of your family is covered by your auto insurance provider. In certain cases, called “permissive use,” your insurance may cover a friend if you loan your car to them.

What’s important to understand is if someone causes an accident while driving your car, it’s your insurance that is required to cover it, not theirs. The rule of thumb is that insurance essentially follows the car, not the driver. If a victim of a car accident sues in a personal injury case, your insurance will be the one to cover it.

It’s imperative to be careful about who you loan you car to, as the legal repercussions can be severe should the worst occur. Fortunately, an accident attorney at Curt Davis Law Office PLLC will help answer any questions you have and represent you if needed. If you’re dealing with an auto-related legal case, contact them today at (606) 378-2525 to schedule a consultation. You can also visit their website to learn more about their auto injury services.