Auto insurance coverage when lending car to friend | HUB Insurance Hunter Blog
While most people don’t usually think twice about lending out their vehicle to a friend or family member they trust, it could lead to a precarious situation if they injure someone or get into an accident while driving your vehicle.
Do you know who becomes liable in this situation? Are you liable if someone else is driving your car? These are questions that drivers should know the answer to before lending out their vehicle.
As a general rule, the owner of record is responsible and legally liable for their vehicle. This means that even if you were not driving the car, you could be liable and the insurance claim could be processed through your auto insurance coverage. This could not only impact your driving record, you could also see a spike in your car insurance rates as well. However, you may be able to transfer the at-fault claim over to the driver and their insurance, given the fact that they have their own car insurance.
Considering the situation, it is important to re think who you are willing to lend your car out to. For more information about this topic, feel free to call us at HUB Insurance Hunter anytime. We would be happy to take to you about your options and provide advice about how to approach this situation if another driver has an accident using your vehicle.