A person driving a car with one hand on the steering wheelThe United States is an extremely car-dependent society. Almost every area—from cities to the countryside—is marked by winding mazes of highways and roads. If you are one of those who forgo car ownership, you’ve likely seen some financial benefits without the expense of traditional auto insurance, repairs and gas. But if you often find yourself renting or borrowing cars instead of owning one, it may be a wise idea to consider insurance that provides you with basic liability coverage just in case you are involved in an accident. Here we explain what a non-owner car insurance policy usually covers and why you may want to buy one.

Who Needs Non-Owner Car Insurance?

Non-owner car insurance typically covers less than full auto insurance. Instead, it’s a liability policy for licensed drivers who don’t own a car but regularly rent or borrow one.

According to Forbes, if you are covered under non-owner car insurance and are at fault in a car accident while driving a rented car, your policy would likely cover bodily injury to others, damage to others’ property and legal defense if you are sued related to the accident. However, non-owner policies typically don’t cover damage to the car you are driving, injuries you sustain or any of your personal items that were damaged.

But just because you drive a family member’s car every so often doesn’t necessarily mean non-owner car insurance is right for you. If you drive a household member’s car often, check to see if they have you listed on their auto insurance policy—if they do, you probably don’t need to buy additional liability insurance.

If you periodically borrow a friend’s car, their car insurance will likely cover an accident if you are driving. But be careful; if your friend’s car insurance doesn’t cover all the damage, you may be held responsible for what’s left. Having a non-owner car insurance policy in this scenario would help.

Count on Dowd

Whether you frequently rent or borrow cars and need the limited coverage provided by non-owner car insurance, or you want to ensure your auto policy gives you the coverage you need at a competitive cost, our experienced team is ready to help. Reach out to us today.