If I loan my car to someone that is not insured and they get into an accident am I covered ?

Question

I have full coverage on the car but being the driver is uninsured will my insurance pay damages even if my driver is at fault?

Answer 1

If you give your friend permissive use to drive your car, they would fit the definition of an insured person under your policy by being a permissive user. Your insurance company will cover the loss and any resulting damages your friend may be legally liable for (property damage, injuries). In some states, there may be a step down provision on a permissive user which means the bodily injury limits drop down to whatever the state minimum coverage is where the loss occurred. For instance, if you carry coverage of 100/300 (which covers up to $100,000/person and $300,000/loss) and the state minimum is 25/50, then your friend would only be covered up to a $25,000 injury loss rather than $100,000.
If your friend causes a loss and the damages exceed your coverage, they will not have any excess coverage to protect him for damages over your coverage as they have no policy of their own.
There are some states with laws that hold you vicariously liable for a loss in allowing your friend to use a car and a loss occurs. Even in those states that don't have such a law on the books, the concept of negligent entrustment can be raised if you lent your car to a friend with a checkered driving history such as DUI, Reckless, several cites, etc. and they caused an accident.
Bottom line is.....be careful who you lend your car to. Good luck

Answer 2

1

Answer 3

Some policies will cover it, some won't. A lot of the time those that do will only cover the absolute minimum rather than the coverage you've paid for.
Best to check your policy or with your insurance company/agent.

Answer 4

In Texas You loan your car you loan your insurance. Its not the person that needs to be insured, its the vehicle. Hence the name automobile insurance. So they would be covered by your policy.
Its still a good idea to contact your insurance companies office and make sure.

Answer 5

In California, NO! Most insurance companies have blanket policies that inform you that another driver will NOT be covered. Unless it is ON your policy that ANY driver is covered.

Answer 6

There is only so much that you can expect here. You have people from 50 states and who knows how many countries...each with different laws and regulations.

So..no one here will be able to give you the correct answer for YOU.......The correct answer is easier to get if you call your insurance company and ask them.

Sorry

Answer 7

Do you have uninsured moterast coverage ?

Answer 8

Depends on your policy. Nobody else can answer this without looking at the TERMS OF YOUR POLICY.