Non Owner Liability Insurance: What It Is, Who Needs It, and What It Covers

Non owner liability insurance is a type of car insurance policy that provides coverage for damages and injuries you may cause while driving a vehicle that you do not own. This type of insurance is commonly purchased by individuals who frequently rent cars, borrow cars from friends or family, or use ride-sharing services.

What is Non Owner Liability Insurance?

Non owner liability insurance is a type of car insurance policy that provides liability coverage for damages and injuries caused by the policyholder while driving a vehicle that they do not own. This type of insurance policy is not for the vehicle itself, but rather for the driver.

If you frequently rent cars, borrow cars from friends or family, or use ride-sharing services, non owner liability insurance can provide you with peace of mind knowing that you have liability coverage in case of an accident.

Who Needs Non Owner Liability Insurance?

Non owner liability insurance is typically purchased by individuals who frequently drive cars that they do not own. This includes individuals who:

  • Rent cars frequently
  • Borrow cars from friends or family members
  • Use ride-sharing services such as Uber or Lyft

If you do not own a car but still need to drive on a regular basis, non owner liability insurance can provide you with the necessary liability coverage.

What Does Non Owner Liability Insurance Cover?

Non owner liability insurance provides coverage for damages and injuries caused by the policyholder while driving a vehicle that they do not own. This includes:

  • Property damage caused to another person’s vehicle or property
  • Bodily injury caused to another person in an accident

Non owner liability insurance does not provide coverage for damages to the vehicle that the policyholder is driving. This means that if you are involved in an accident while driving a rental car, for example, the rental car company’s insurance will cover any damages to the rental car itself.

How Much Coverage Do I Need?

The amount of non owner liability insurance coverage you need will depend on a number of factors, including:

  • Your personal financial situation
  • The amount of assets you own
  • The likelihood of being involved in an accident
  • The minimum required coverage in your state

It is important to carefully consider these factors when determining how much non owner liability insurance coverage to purchase.

How Much Does Non Owner Liability Insurance Cost?

The cost of non owner liability insurance will vary depending on a number of factors, including:

  • Your driving record
  • Your age and gender
  • The amount of coverage you need
  • The state you live in

On average, non owner liability insurance can cost anywhere from $200 to $500 per year.

FAQ

Is non owner liability insurance required by law?

No, non owner liability insurance is not required by law. However, if you frequently drive vehicles that you do not own, it is highly recommended that you purchase this type of insurance to protect yourself in case of an accident.

What is the difference between non owner liability insurance and regular car insurance?

Non owner liability insurance is specifically designed for individuals who do not own a car but still need liability coverage while driving. Regular car insurance provides coverage for the vehicle itself as well as liability coverage for the driver.

Can I purchase non owner liability insurance if I have a bad driving record?

It may be more difficult to purchase non owner liability insurance if you have a bad driving record, but it is still possible. However, you may be required to pay higher premiums because of your record.

Do I need non owner liability insurance if I only drive rental cars?

Yes, if you frequently rent cars, it is highly recommended that you purchase non owner liability insurance to protect yourself in case of an accident.

Conclusion

Non owner liability insurance is an important type of car insurance policy that provides liability coverage for individuals who frequently drive cars that they do not own. If you rent cars, borrow cars from friends or family, or use ride-sharing services, purchasing non owner liability insurance can provide you with peace of mind knowing that you have liability coverage in case of an accident.