Am I Insured to Drive Others' Vehicles?

When driving another person's vehicle, several factors must be considered. A study of all major providers provides certain common ground. First the policies vary from state to state through the insurance commission. Always check your policy for disclaimers.

The common ground begins with permission to drive the person's vehicle, not by assumption, but by verbal agreement prior to use. Make sure that the car has insurance in force and to what degree. This is to say, does the other person have basic PIP "Personal Injury Protection," or do they have Comprehensive and Collision? The reason becomes apparent when researching the limits of culpability and the insurance company's political overtone in that they appear hesitant to acknowledge or accept a definite position on this matter.

If you have an accident while driving someone's vehicle with his or her permission, that person's insurance will be the primary provider and your insurance will be the secondary provider, picking up the difference. This is as long as he or she has Comprehensive and Collision. However, if the other person has PIP, your insurance will only cover your medical and not the car for damage. If by chance the driven vehicle has no insurance in force, personal liability will be in effect from your policy once the deductible is satisfied.

Another noteworthy point--the insurance company will not pay if the vehicle is used commercially for any reason. A good point for thought--discretion is wise when driving a BMW or the like and you have the minimum coverage for a much less expensive vehicle. This could be costly! The last point is the problem with both you and the owner of the vehicle having no fault or PIP only. The vehicle is a goner! Insurance companies will pay medical only under these circumstances.

Another consideration is No Fault insurance required as a minimum insurance (least expensive) in many states. No fault insurance covers you medically only. To defray the misconception that it covers the other vehicle only--it does not have anything to do with comprehensive or collision.

If someone runs into your vehicle while you are at a light, regardless of who is at fault, your no fault insurance will cover your medical bills. Now if your medical bills exceed $1000, you have the option to sue the other person's insurance company for your deductible and all over and above the first $1000. This was adopted to keep the cost of insurance down, ensure better insurance saturation and reduce the number of uninsured drivers. If your insurance lapses, a notice is sent to the bureau of motor vehicles and your driver's license is suspended automatically.