Non-Owner Car Insurance

by Bianca Garrison - April 23, 2020
young man handing over the keys to his car to his friend

You may be wondering, why would I need car insurance if I don’t own a car? If you have regular access to one and you drive it regularly, you will need non-owner car insurance to protect yourself and the vehicle owner if you’re ever in an accident. 

What is Non-Owner Car Insurance?

A non-owner car insurance policy, sometimes called non-drivers insurance, provides liability coverage for drivers without cars. A typical policy will include bodily injury coverage and property damage coverage, and some insurance companies also offer coverage for medical payments and uninsured/under-insured motorist coverage. 

A non-owner car insurance policy does not include comprehensive, collision, rental reimbursement, or towing because the policy is not attached to a specific vehicle.

Who Needs Non-Owner Liability Insurance?

If you don’t have a vehicle, usually you’re not legally required to have a non-owner car insurance policy. However, there are some instances when having a non-owner policy may be beneficial. 

You regularly rent cars:  If you rent cars frequently, a non-owner policy that offers liability coverage on rental vehicles can be a great option. 

You regularly borrow a car: If you’re a caregiver or work with someone whose vehicle you  use often, having a non-owner insurance policy to supplement theirs is a great idea. However, if you regularly borrow a vehicle from someone in your household, you should be listed on their policy. 

You’re temporarily without a car: If you sold your vehicle, but plan to buy a new one soon, it’s usually a good idea to get non-owners insurance to prevent a lapse in your coverage, which can result in penalties, including higher premiums.

You use a car-sharing service: If you use a car-sharing service like Zipcar or Maven, you’ll probably get some liability and damage coverage as part of your membership. In some situations, it might be a good idea to get additional coverage.

Required by a court: If you’ve committed serious traffic violations, the court may require you to file a proof-of-insurance certificate, also known as an SR-22, to maintain your driver’s license, even if you don’t own a car. This requirement can happen after a DUI conviction, reckless driving tickets, or for causing an accident as an uninsured driver. If this happens, you may need non-owner SR-22 insurance. You may also be categorized as a high-risk driver, and you will need high-risk car insurance when you get your vehicle.

Non-owner Car Insurance Rates

Non-owner car insurance premiums are significantly lower than those for regular car insurance. Bluefire can help you get a quote in just a few minutes. 

What’s the Difference Between Liability Only Car Insurance and Non-Owner Car Insurance?

Non-owner car insurance is a good option for drivers who don’t own a vehicle but drive regularly. Liability only car insurance is basic auto insurance for drivers who do own a vehicle. Every state has a minimum amount of liability car insurance coverage required by law. 

The minimum requirements are enough to keep drivers from penalties, fines, and tickets, but it may not be enough to protect them from theft, vandalism, or damage done by extreme weather. 

Do You Need a Non-Owner Car Insurance Policy?

Now that you’ve read all about non-owner liability insurance, do you think you need a policy? Do you have more questions? If so, contact your local Bluefire agent today. They can help you get the coverage that works best for you. 

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