Most of us don’t think twice about letting a friend or family member borrow our cars, but what if they get into an accident? Will your car insurance company cover the damages, or will you have to pay out-of-pocket? Will their insurer pay part of the claim? Who is responsible for the losses depends on the extent of the damage and whether the driver has coverage of their own.

When a Friend Crashes Your Car

With Minimal Damage to Your Car Only

Most car insurance companies insure both you and the vehicle, as long as a friend or family member is using it with your consent. As long as you have collision coverage, they’ll pay for repairs, no matter who was driving, but you will be responsible for paying the deductible.

In an Accident With Serious Damage

At a bare minimum, your auto insurance policy includes liability coverage for property damage and personal injuries caused by your vehicle. In Ohio, each driver is required to have at least $25,000 in both property damage and personal injuries per person, with a maximum of $50,000 per accident. If someone else was driving, your policy should cover any damages up to the limits of your policy, while your friend’s insurer might pick up the rest.

Without Insurance

Letting a friend drive your car without an insurance policy is an issue if they cause a serious accident with damages that exceed your policy limits. Without it, you might be on the hook for any damages left over when your auto insurance policy has been exhausted.

Without a License

Car insurance companies specifically exempt accidents caused by drivers who don’t have a valid driver’s license. If you let an unlicensed friend or family member drive your car, both of you could be held financially liable if they cause a crash.

With a complete range of products from some of the industry’s leading car insurance companies, 1st Choice Insurance provides affordable coverage to drivers throughout the Greater Cincinnati Area. They specialize in helping high-risk drivers get back on the road, with policies tailored to your individual needs. Visit their website for more on their comprehensive range of services, or call (513) 860-0666 to request your car insurance quote now.