Is my car insured if I let someone else drive it?


Editorial team Published on

Yes, someone borrowing your car with your permission is generally covered by your auto insurance policy.

How Permissive Use Works

  • Insurance follows the car: Your auto insurance policy acts as the primary coverage if an occasional borrower gets into an accident.
  • Secondary coverage: If the cost of the accident exceeds your policy limits, the driver's own auto insurance policy may kick in as secondary coverage.
  • Impact on you: If the borrower causes a crash, any resulting claim is filed under your policy, which can lead to higher insurance rates for you.

Important Exceptions

  • Household members and roommates: People living in your home or regular drivers of your car must be explicitly listed on your policy. Unlisted household residents or frequent operators are often denied coverage.
  • Excluded drivers: If you formally listed someone as an "excluded driver" on your policy, they have no coverage while driving your car.
  • Without permission: If someone takes your car without your consent (non-permissive use), your liability coverage may not protect them, and their own insurance or the at-fault rules will apply.
  • Commercial activities: Using your personal vehicle for ridesharing or food delivery without an added endorsement is usually excluded from coverage.