Imagine, that you are a driver, but haven’t bought a car yet. Your friend or partner can borrow you his own vehicle. You are so grateful to him but afraid of being involved into a car accident and ruining your friend’s car?
Non owner car insurance is supposed for a person, who has driving license, but doesn’t own a vehicle, so he drives his friend’s car (or a car, rented from an agency) and wants to protect it from accidental damage. Sometimes this kind of policy is an additional one, which is demanded by an insurance company from high risky drivers. If you hesitate, whether to get non owner car policy or not, here are pros and cons for you to make a final decision.
Non Owner Policy – When is it Required?
This deal is of low cost, although it is not for free and demands some extra dollars per year. Certainly, you should overpay for the thing, which isn’t really useful for you and isn’t worth your money. So we will enumerate the reasons, why getting this very policy is necessity for a non car owner and if you agree with at least two reasons from the list, you should call your should demand to get this insurance from your agent.
- Your friend’s permission
In fact your friend may borrow you his vehicle even without a policy. But you should value your friendship and sign the policy yourself. Thus you will for sure avoid an unpleasant situation, when you have crashed the vehicle and your friend’s policy doesn’t presume the payouts from insurance company in this situation or the coverage is minimal. So purchasing non owner car policy is your duty in this case.
- You are demanded to get the policy by a rental company
If you rent the car from a company, not from your friend, it is required from you to insure your trip. Very often car rental companies offer their kind of insurance policy. If you drive often, it is better to buy non owner car policy as it will cost you much less than that one, offered by the company.
- You need continued coverage
If you plan to get the vehicle in future or just want to have good insurance history (that will let you to get policies for lower rates), having continued coverage is a must for you. Then you will turn the non owner policy very easily into owner’s one and you will get lower rates, if your non owner insurance history will be good enough.
- You have awful driving history
If you take part in car accidents too often, you may be advised to get non owner car policy as the additional secondary coverage to your friend’s car insurance policy.
If your friend gives his car to you, he may discuss with his agent a possibility to include this option into his car insurance policy. And your damage may be covered by his insurance company in case if you are not considered by them as a high risky driver. If you are – the agent will ask you to get non owner car policy as the additional coverage in case of car crash.
Yes, this policy is of great demand for me, but what will I get in case of crash or damage? What can I expect to be paid? Can I get enough money to pay for my treatment?
Don’t expect to become a millionaire after this deal – non owner coverage presupposes only paying for basic needs like body injury (your own and the other car owner), some medical bills and the repairing of the other car.
Very often even your injury isn’t covered by the policy – be sure, you have checked this point, when you have signed the deal.
You won’t get coverage in case of car collision – as you don’t own a car and many other kinds of coverage are not affordable for you. Still having this policy is a good idea as it is cheap and provides you for uninterrupted coverage of the vehicle that you rent.
I know, that getting non owner car policy sounds attractive to many drivers as it is not so expensive and offers comparatively large amount of coverage. But still there are some reasons that will prevent you from getting this policy. Here’s our list of cons.
- You have bought your own vehicle
If you have already bought the car, you are not allowed to keep using this policy. If you are a high risky driver and it seems to you that getting this insurance like an additional coverage is required in your situation, contact your agent and ask him. For sure, you insurance company has similar offer to owners of the car, but this very policy is forbidden.
- You use the car of some member of your family
You won’t get this kind of policy, if some of family have a car and can borrow it constantly. So if you want to be insured, you should ask your relative to include you to the general liability policy – this kind of service is possible.
- Your company has borrowed the car for you.
Sometimes the company provides its workers with personal transport. Thus you can be not the car owner, but regular car user. Of course, you may ask for non owner car policy – and will be refused to buy it as you drive a car too often.
You may ask your employee to insure this vehicle and add your name to the list of users.
- You don’t have a driving license
You should own driving license for 30 days at least in order to get this policy. If you are not a licensed driver, you can’t order this kind of service.
I am Getting It Now!
Have you made up your mind to get non owner insurance policy? So, call your insurance company and ask them, if they offer this deal. In fact not every company sells non owner insurance to its clients.
If your company can’t provide you for this policy, contact some independent agent. He for sure, will advise you some company as he deals with many of them and knows about the offers they have.
The cost of this policy is quite low – you will pay $200 – $300 annually. Of course, the rate depends on your age, your driving experience and your driving history. As non owners drive car not so often, they are considered not as risky as regular drivers, so you can expect not high cost of the service!
To come to the conclusion, non owner car policy is the service for licensed drivers, who don’t own a vehicle and don’t have constant access to it. This kind of policy can – and must be – turned out into owner’s one if you have bought the vehicle later. It is inexpensive and useful service that helps to save wear and tear on your nerves and nerves of those, who have borrowed the car for you!