My friend had an accident with my car(uninsured), who's to pay other party? my friend or me?

Question

He was living with me then, so i gave him my 2nd car and told him the insurance will soon expire in 2 months, he should renew it and be paying for the insurance since he's working. Unknowingly to me, he didn't renew it and he ran a red light and had accident with it. Now, the insurance company of the other party wants money for damages, about $13000.00. Who's responsible to pay this money? my friend or me? he has a valid driving license.

Answer 1

You own the car, that makes it your problem. Next time keep the insurance up to date on your property, especially if you're going to be lending out your cars. You are responsible for maintaining the insurance on your vehicles. I don't think he could've gotten the insurances anyhow because he isn't the car's owner.

Answer 2

First of all, it's not his duty to renew your insurance regardless of whether you gave him the car. It's yours. Was it your intent that this would become his vehicle permanently? If not, then you are still the owner, still responsible for insuring the vehicle. He can't insure the vehicle because he doesn't own it. Not sure what you were thinking there.

If the policy was not in force at the time the accident happened, and he has no policy of his own, then he will have to pay because he was negligent. But you should realize that as the owner of the vehicle, the other person may name both of you in a lawsuit. You can be brought in for negligent entrustment, and you'd have to prove that you are not guilty of that to be let out of the suit.

Does that mean your other car is uninsured? Better get that taken care of now!

Answer 3

You are both responsible under the laws of financial responsibility because you as the owner must make sure the vehicle is insured and he as the driver must make sure that there is insurance on any vehicle that he is driving...this is the way that it goes. Any order of security issued in the claims will be directed against both of you for the full amount and you are both equally liable for the full amount of any property damages and medical claims made in the accident.

If you "gave" him the car, you should have legally signed it over and completed a legal document of donation and had the vehicle taken out of your name so that you would not now be in this situation...since you did not complete the legal donation, you are now liable for his illegal acts as the official owner of the vehicle. I'd say, you should get an attorney to represent you to say that you had donated the vehicle to the other person but that he had not completed the proper legal documents to get the vehicle registered in his own name.

Answer 4

You had no liability insurance on your car at all? If you did, this should fall under uninsured motorist coverage with your carrier for the other car but wont help your car. You could be held liable if you live in a state where liability coverage is required because you allowed the operation of an uninsured car in your name. A Release of Liability would notify your DMV of the sale or transfer of the car. If your state does not require liability insurance, he should be liable individually for damages he caused Beware, you still might get sued even if there is no basis for suit. Insurance companies dont care where they get the money they want!

Answer 5

Sorry to say, if your the owner of the car, then your responsible to ensure that its insured. My knowledge is in Ca and in Ca, DMV will suspend both of your licenses for a year. Possibly your state is more eased about it, but most are not. The worse news, a civil judgement against you, will suspend your license even longer. You might have to counter sue your friend (or should I say ex-friend), chances are if he didn't get insurance he doesn't have 13,000 either. Unfortunatly you made a bad judgment call to leave it up to your "friend". If you can't pay it your looking at years of credit unworthiness. You can't change the past so take a deep breath and go on. Good luck.

Answer 6

If the vehicle is registered in your name and your name is on the deed then it is your responsibility to make sure that insurance was renewed, if it wasn't you should have taken away the keys. If you end up having to pay the damages you may be able to file suit against your "friend". He was neglegent by running the red light and in my opinion should be held accountable for the damages somehow. Get a good lawyer, your gonna need it! Good Luck

Answer 7

You are responsible for repairs to your car, your dope friend should have to pony-up to the other company, however, you will probably be held responsible for all costs. I normally never advise this but in this case you better go ahead and hire a good lawyer if for no other reason than to just keep you out of jail. (they can do that when you are sued and don't pay). Hope you like overtime.

Answer 8

The legal owner of the vehicle is responsible for damages. If you did not have the vehicle transferred out of your name into your friends you are liable.

Answer 9

properly at the beginning, you will possibly desire to pass to the well being facility so as that they are able to objective you and stuff. Then they might help you to press expenditures in case you needed. yet that could desire to be a great step so quickly. i think of you will possibly desire to have your boyfriend come over and consistent with threat like somebody you somewhat have confidence that is conscious, like a ultimate buddy, and tell him and your sister on a similar time. no person is going to get mad or blame you. And in the event that they do, then they do no longer deserve you of their lives. stable success with each and everything.

Answer 10

Its just like Maritime Law,the owner is responsible, even for the captains actions. But, I am sure it is worth a Judge hearing. You were not at fault, totally. you were semi responsible, but that was an act of kidness, so it is for a judge to decide.