What If You Make A False Statement About Auto Insurance
It is an offence under the Automobile Insurance Act if you knowingly make a false statement of insurance. This may result in a fine of $10,000. The Act states:
13 No person shall, in certifying under paragraph 1 of subsection that a motor vehicle is insured under a contract of automobile insurance, make a statement that he or she knows or ought to know is false.
Can I Drive My Friends Car If I Have Insurance
Similar to the scenarios above, if you drive your friends car and get into an accident that was your fault, it most likely will be their auto insurance coverage that will be affected. Remember, even if you have better insurance than them, the insurance usually follows the car. So theyll probably file the claim, pay the deductible and face the potential higher rates. Again, make sure you both are on the same page as far as who will pay the deductible if you get into an accident while driving their vehicle.
What Happens If You Cause An Accident
If you cause an accident while driving your parentsâ car, it will go on your driving record, but it will also affect your parents. Since youâre listed as a driver on their insurance, their premiums will increase until you leave their policy. Once that happens, your parents will have to contact their insurance provider and request that the accident be removed from their policy and put onto yours.
You can also add Accident Forgiveness coverage to your parentsâ policy â a one time get out of jail free card for your first at-fault accident. The incident will still go on your driving record, but it wonât affect your insurance premiums. However, if you leave for another insurer before the accident comes off your record , your new insurance company will see your record and increase your premiums accordingly. And, if you get into another accident, you canât use the waiver again until the other has cleared.
You May Like: How To Wire A Car Radio To A House Outlet
What Happens If The Person Borrowing My Car Is Not A Good Driver
It is important to keep in mind that when you lend your vehicle to someone, you are also lending your insurance record. Does the borrowing driver have a poor driving record or insurance claims history? If so, you should use your discretion as to whether you should lend them your vehicle.
Insurance companies vet potential drivers for one of their policies by observing their driving record and claims history. Your insurer may exclude them from driving the vehicle if that person fails the companys insurability requirement. As the policyholder, you have an obligation to assure responsible use of your vehicle. If you know that a driver is high risk, you should probably not lone them your car. If the insurer proves that such risks were known, they could potentially hold back claims you may need to file as a result.
Find Cheap Auto Insurance Quotes In Your Area
Non-owner car insurance is a liability policy for those who drive but don’t own a car. Whether you rent or borrow a car often, or need to file for an SR-22 without a vehicle, a non-owner policy is a relatively inexpensive option to purchase auto insurance liability coverage. Non-owner auto insurance rates are often 5% to 15% cheaper than those for a standard policy. However, non-owner insurance isnt the right choice for many people, including those who cohabit with a car owner or would otherwise be required to be listed on a cars primary policy.
Read Also: Arizona Title Transfer
You Both Have Separate Insurance Policies
Chances are, you’re covered. But, which company will actually handle the claim and send payment for damages can vary based on the accident, damages, who is officially at fault, etc. Plus, coverages can vary at different insurance companies.
Next up: If you’d like to receive payment for the damages, then it’s best to contact both insurance companies to simply discuss the details of the accident. Then you’ll know whose insurance applies and which company to file the claim with.
We Help You Fight The Insurance Company
If youre having difficulty with an insurance company and are looking to get full compensation, contact Ehline Law and our group of attorneys to help you file a lawsuit, expedite the claims process, and ensure you get the financial compensation you are looking for.
Ehline Law and our expert lawyers have over the years have achieved great milestones including:
- Over 3,000 satisfied clients and retrieving over $150 million in compensation
- Over 15 law offices across California
- Several awards such as Superlawyers rising star, best trial lawyers, and more
We work on a no win no fee basis, so give us a call now at 596-9642 for a free consultation with a Los Angeles auto accident attorney for your legal troubles.
Read Also: What Gas Stations Can I Use My Synchrony Card At
The Insurance Carrier Of The Person Who Lends The Car Only Covers Drivers Specifically Named In The Policy
Usually you would need to explicitly exclude drivers on your policy for them not to be covered . However, there are some insurance companies that need all drivers to be specifically named/included on a policy if they are to be covered.
In general, though, your insurance will cover any person who you’ve given permission to drive your vehicle, including family members living with you and your dependent children away at school.
It is important to note that insurance companies do generally expect any family members living in your household who will be driving your car on a regular basis to be specifically named and included as drivers in your policy.
Myth : I Have Doc Cover So I Dont Need Temporary Insurance
FACT: While DOC and temporary insurance are used for similar purposes, they actually exist for very different reasons.
DOC is intended for emergency use only and will only cover you for third party damage to other vehicles.
Temporary cover is for short term use, can be fully comprehensive and added for up to 30 days.
It can be useful if your son or daughter is home from university, and you want them to have use of your car, or if you and a friend are sharing driving responsibilities on a road trip.
Read Also: Making Car Freshies
Does Car Insurance Follow The Car Or The Driver
Its not an uncommon scenario: Your car is at the mechanics shop being repaired and your mother-in-law has offered her car to you until yours is road-ready again. Or youre home from college for a visit and want to meet some friends, but you left your car on campus. In any situation, should you borrow someone elses car or let someone borrow yours? Would you still be covered if you do? What happens if you or they are in an accident? As a driver, there are times when you may find yourself in a position of driving someone elses vehicle or lending your vehicle to someone temporarily. Regardless of the scenario, there are some things you need to know. Are you protected in case of an accident? Does your insurance follow the car or the driver?
Insured Driving Someone Elses Car
The language of your personal insurance policy will determine if youre insured while driving someone elses car. Most insurance policies will cover the driver, even if an accident occurs while theyre in a different vehicle. This means that you will be covered in the event that you damage a friend or a partners car while not on the same policy.
The question of whether or not youll have to pay for the damages to the car will come down to who was deemed at fault in the accident. If an investigation shows that you were responsible or could have prevented the crash, then your insurance will have to cover both cars in the accident. If the other party in the accident is found responsible, they will be made to cover the repairs. Its a dangerous game to play, driving someone elses car as your insurance policy could go up or be canceled.
Don’t Miss: Keep Squirrels Out Of Car
Tips For Borrowing Someone Else’s Car
A few tips to remember before borrowing someone else’s car:
- Ask the insured driver to check their policy for terms involved with loaning their car to you.
- Make sure you have a valid driver’s license before borrowing someone’s car.
- Be certain that the insured has their registration and insurance information in the car’s glove box.
- If you plan to use the insured’s car habitually, ask them to add you to their policy as a driver. This protects you both.
Policies With Excluded Drivers
Except for a few states, every state allows drivers to exclude other people from their policy. The states that don’t allow this are New York, Michigan, Wisconsin, Virginia, and Kansas. State Farm says that if someone has had several accidents or DUIs, insurance companies are likely to make you exclude them from the policy. If a driver wants to exclude someone from their policy, such as a family member or a young teenage driver, they are allowed to do so.
You May Like: Fixing Burn Holes In Car Seats
Does My Car Insurance Cover Me When Driving Another Vehicle
If youre specifically listed on the car owners insurance policy, youll be covered when driving that car even if its not your own. If youre not on the owners policy, applicable coverage will again depend on consent.
Assuming the driver gave you consent to operate the vehicle or, at the very least, there is reasonable belief that you had permission to drive it, then youre probably covered. If you pay to drive the car , then this generally constitutes assumed permission as well.Here are some situations in which you would typically be covered under your auto policy:
- Driving your parents vehicle with permission, assuming you are not listed as an excluded driver on their policy.
- Borrowing a friends or family members car with permission while yours is being repaired.
- Renting a car from a rental car company or the car-sharing marketplace.
Can Someone Else Drive My Car Without Insurance
The term without insurance can have several meanings, and the answer to this question can vary.
If you do not have insurance at all then no, absolutely not. In Ontario, driving without insurance may cost both the owner of the car and the driver up to $50,000 in fines, license suspensions and even vehicle impoundment!
However, if your friend or family member that asks to borrow your car doesnt have insurance but you and your car are insured then yes, you can. Incidental or random use drivers can borrow vehicles and the vehicle insurance will extend to cover them. However, motorists who drive another persons car on a regular basis likely need to be listed as occasional drivers on the insurance policy.
Recommended Reading: Does Reg 227 Need To Be Notarized
Can My Child Drive My Car Without Insurance
If theyre living at home, you should be sure to include them as a driver on your policy because if they are not, and they get into an accident, you run the risk of them not being covered.
Your agent can add your teen driver to your existing policy so you wont have to worry about whether your teen is covered or not. Even though insurance follows the car, household members who are regular drivers should always be listed on the policy to ensure optimal coverage.
If you have the MyAmFam app, you can easily add or remove a driver from your policy to ensure your teen is covered under your insurance. Download the MyAmFam app today.
Who Should Get Non
There are several different situations in which you might want to get non-owner insurance. One of the most common is if you don’t own a car but often rent or drive cars that don’t belong to you and want to ensure you’re protected. Another is if you need a non-owner SR-22 because of a DUI or another serious driving infraction.
Recommended Reading: What Score Does Car Dealerships Use
How Does My Car Insurance Cover Other Drivers
In many states, your car insurance would be considered the primary insurance if someone else wrecks your vehicle, according to the Insurance Information Institute . That means the coverage you’ve chosen on your policy would help cover the injuries or vehicle damage the driver caused.
So, if someone else driving your car is at fault for the accident, here’s how your policy’s coverage may help:
- Auto liability coverage: This coverage may help pay for another person’s medical bills or damaged vehicle that resulted from the accident. Your liability coverage would not pay for your friend’s medical bills or repairs to your own car.
- Collision coverage: If you have collision coverage, it may help pay for your vehicle repairs. Keep in mind that you’ll have to pay your deductible first.
- Medical payments coverage: If the driver of your vehicle is injured in an accident they caused, this coverage may help pay for their medical bills.
Keep in mind that laws vary by state, so it’s important to read your policy documents carefully to understand what’s covered. If you have questions about your coverage and how it helps protect another driver, ask your agent to help clarify.
What To Do If Youre Caught Driving Without Insurance In Ontario
If you are caught driving without insurance in Ontario, you must follow the steps below:
1. Stop Driving:
You will need to stop driving immediately if you are caught driving without insurance.
2. Pay the Fine:
You will be required to pay a fine if you are caught driving without insurance. The amount of the fine will depend on the severity of the offense.
3. Contact an Insurance Provider:
Immediately contact an automobile insurer to obtain insurance coverage.
4. Get Your Licence Reinstated:
You will be required to provide proof of insurance to the Ministry of Transportation. Once the ministry has received this proof, your licence will be reinstated.
5. Drive Carefully:
Remember to drive carefully and obey all traffic laws once you have insurance coverage. Driving carefully will help you avoid getting into an accident and incuring fines or penalties.
You May Like: Car Sales Commission Structure
So Can Someone Drive My Car If They Are Not On My Insurance
As long as you give permission to somebody to drive your vehicle, they will be allowed to drive your vehicle even if they are not listed on your insurance policy. There are exceptions to this rule, however. If somebody lives at your house full time, or frequently drives your vehicle, they will need to be listed on your policy in order to drive your vehicle. Therefore, your spouse, your children, your parents, your in-laws, or anybody else who lives at your house full time will need to be listed on your auto insurance policy.
If you would like to make sure somebody is allowed to drive your vehicle, the best thing to do is to call your auto insurance company and confirm with them. When it comes to letting someone else drive your car, its better to be safe than sorry.
Help protect yourself on the roadwith Insurance Panda
What If You Get Into An Accident While Driving Someone Elses Car
Depending on the policy limit of the cars owner, if you get into an accident, insurance companies are liable to give you coverage. Car owners can recover the damages caused to the driver and the vehicle including bodily injury, property damage, and more.
However, you should note that accidents and claims drive up insurance premiums, meaning the car owner will have to pay substantially more money for insurances after you have gotten into an accident.
Read Also: Will Aaa Tow A Car I Just Bought
What Happens If An Uninsured Driver Injures You
If an uninsured driver injures you in Ontario, you may be able to sue the driver for damages. In addition to that insurance company is liable to pay your medical bills of up to $200,000 .
Family protection endorsement is another way to make sure that youre covered under these circumstances. This is insurance coverage that pays for damages if you or anyone in your family is hit by an uninsured or underinsured motor vehicle driver. The amount of coverage varies from insurance company to company, but it is usually between $25,000 and $1 million. Hence, always make sure you have adequate car insurance coverage.
Someone Got A Speeding Ticket While Driving My Car Will My Rate Go Up
Typically, the ticket follows the person, not the car. So if your buddy was driving your vehicle, saw the berries and cherries, and received a hefty speeding ticket, it would be recorded on his drivers record and your car insurance shouldnt be affected.
However, if a driver who is listed on your policy gets a speeding ticket , it unfortunately could cause your insurance premium to rise. Learn more about how much insurance rates go up after an accident.
Share these tips for teen drivers with your newly liberated, bright-eyed motorist to keep them safe and focused on the road and hopefully help them avoid speeding tickets.
Recommended Reading: Sell Lease To Carvana
Does Collision Coverage Insurance Follow The Car Or The Driver
If you are driving someone elses car or truck and you are involved in a crash that results in damage to the vehicle you are driving, then your collision insurance will follow the driver as the collision coverage on your own vehicle and/or the collision coverage on the vehicle you were driving will pay for the damage.
The terms of both your policy and the policy covering the vehicle you are driving will determine which coverage is primary. The insurer whose policy is primary has the duty to pay first before the secondary insurers duty to pay is triggered.