Borrow Car Insurance: Everything You Need to Know

If you are planning to borrow a car from a friend or family member, it is important to know that you need to have insurance coverage. Borrow car insurance, also known as non-owner car insurance, provides coverage for drivers who borrow or rent cars on a temporary basis. In this article, we will discuss the basics of borrow car insurance, including what it is, who needs it, and how to find the best coverage.

What is Borrow Car Insurance?

Borrow car insurance is a type of liability insurance that provides coverage for drivers who do not own a car but need to borrow or rent one on a temporary basis. This type of insurance typically covers damages you might cause to other people’s property or injuries you might cause to other people while driving a borrowed or rented car. It does not provide coverage for damages to the car you are driving, as this is the responsibility of the car’s owner or the rental company.

Since borrow car insurance is a liability insurance, it is meant to supplement the car owner’s insurance coverage. If you are borrowing a car from a friend or family member, you will be covered by their insurance policy, but you may need additional coverage in case the limits of their policy are not enough to cover damages you might cause.

How Does Borrow Car Insurance Work?

Borrow car insurance is typically purchased as a standalone policy, separate from the car owner’s insurance policy. This means that if you are borrowing a car, you will need to purchase your own borrow car insurance policy to provide liability coverage while you are driving the car.

The cost of borrow car insurance varies depending on a number of factors, such as your age, driving record, and the amount of coverage you need. Since this type of insurance only provides liability coverage, it is generally less expensive than traditional car insurance.

What Does Borrow Car Insurance Cover?

Borrow car insurance provides liability coverage for damages or injuries you might cause to other people or their property while driving a borrowed or rented car. This coverage typically includes:

It is important to note that borrow car insurance does not provide coverage for damages to the car you are driving, as this is the responsibility of the car’s owner or the rental company.

Who Needs Borrow Car Insurance?

If you do not own a car but need to borrow or rent one on a temporary basis, you will need borrow car insurance to provide liability coverage while you are driving the car. This may include:

• People who frequently rent cars for business or personal use.
• People who occasionally borrow a friend or family member’s car.
• People who use car-sharing services like Zipcar or Car2Go.

If you own a car and have insurance coverage, you may not need to purchase borrow car insurance. Your existing insurance policy may provide coverage for liability when you are driving a borrowed or rented car. However, it is important to check with your insurance provider to make sure you have sufficient coverage.

How to Find the Best Borrow Car Insurance Coverage

If you need to purchase borrow car insurance, there are a number of factors to consider to ensure you get the best coverage for your needs. Here are some tips for finding the best borrow car insurance coverage:

Compare Quotes from Different Insurance Providers

One of the best ways to find the best borrow car insurance coverage is to shop around and compare quotes from different insurance providers. This will allow you to compare coverage options and pricing to find the best policy for your needs.

Consider Coverage Limits

When comparing quotes, be sure to consider the coverage limits for each policy. It is important to have sufficient coverage in case you cause an accident that results in significant damages or injuries.

Look for Discounts

Many insurance providers offer discounts for drivers who have completed defensive driving courses or have a clean driving record. Be sure to ask about any discounts you may be eligible for when shopping for borrow car insurance.

Read Reviews and Check the Company’s Reputation

Before purchasing borrow car insurance from a particular provider, be sure to read reviews and check the company’s reputation. Look for a provider with a strong financial rating and a history of providing good customer service.

FAQs

What is the difference between borrow car insurance and rental car insurance?

Borrow car insurance provides liability coverage for drivers who borrow or rent cars on a temporary basis. Rental car insurance, on the other hand, provides coverage for damages to the rental car itself. If you are renting a car, you will likely need both types of coverage.

Can I purchase borrow car insurance for a specific car?

No, borrow car insurance is not tied to a specific car. It provides liability coverage for you as a driver, regardless of the car you are driving.

Do I need to have a driver’s license to purchase borrow car insurance?

Yes, in order to purchase borrow car insurance, you must have a valid driver’s license.

Does borrow car insurance provide coverage for medical expenses?

No, borrow car insurance typically only provides liability coverage for damages or injuries you might cause to other people or their property while driving a borrowed or rented car. If you want coverage for medical expenses, you may need to purchase additional insurance, such as health insurance or personal injury protection (PIP) insurance.

What is the minimum amount of liability coverage required for borrow car insurance?

The minimum amount of liability coverage required for borrow car insurance varies by state. Be sure to check with your insurance provider to make sure you have sufficient coverage for your needs.