Non Owners Car Insurance: What You Need To Know
Updated: Nov 23, 2022
If you were to be involved in an accident with another driver and be determined to be at fault, your non-owners insurance policy would protect you from lawsuits just like a standard liability policy.
Read on to know more about non-owners’ car insurance.
What Is Non-Owner Car Insurance?
A non-owner insurance policy will protect you if you routinely drive but don't own a car and are found legally responsible for someone else's injuries or property damage in an accident. Your own injuries sustained in a collision or damage to the automobile you're driving are not covered by non-owner auto insurance. Additionally, non-owner insurance policies sometimes cost less than regular auto insurance premiums.
What Non-Owner Car Insurance Covers
Non-owner automobile insurance covers the following in the event that you are at fault in a collision while operating a rental vehicle:
Uninsured Motorist Coverage (UM)
If someone hits you and doesn't have enough or any liability insurance, this policy will cover your medical costs. Depending on your state's laws, hit-and-run accidents may also be covered by uninsured motorist coverage.
Medical Payments (MedPay)
No matter who caused the accident, this coverage will pay for your and your passengers' medical expenses.
What’s Not Covered By Non-Owner Car Insurance?
Although non-owner auto insurance is intended to meet a driver's essential liability insurance requirements, there are a number of typical exclusions:
Your Vehicle Is Suffering Damage.
Collision and comprehensive insurance, which covers a variety of issues such automobile theft, fires, floods, hail, riots, vandalism, collisions with animals, and falling objects, are not included in non-owner auto insurance. You have the option of filing a claim under your own collision and comprehensive insurance or against the liability insurance of the at-fault motorist if someone else wrecks the automobile you're driving.
Your Injuries Following A Car Accident.
You won't be protected for any injuries you sustain in a car collision if the sole liability insurance in your non-owner auto insurance policy is liability insurance. You might be able to add medical payments coverage if you desire injury coverage.
Non-owner auto insurance packages typically only cover you, not your partner or any other household members who might drive. If someone lives in your home with a personal auto insurance policy, several insurance companies won't let you have a non-owner automobile insurance coverage.
A non-owner automobile insurance coverage is probably not going to protect you if you're using a vehicle for business activities, like delivering items to a client. A frequent exclusion for non-owner auto insurance coverage is business use.
Your personal property will not be covered by a non-owner auto insurance coverage if it is lost, destroyed, or taken. For instance, your auto insurance won't pay you if your laptop is stolen from a borrowed vehicle. Your homeowners insurance or renters insurance may provide coverage for personal property.
Who Needs Non-Owner Car Insurance?
In the following circumstances, those without their own vehicle may require a non-owner insurance policy:
An Sr-22 or Fr-44 form is required.
If you've had issues such as DUI convictions, license suspension or revocation, been caught driving without insurance, or other issues, your state may require you to present proof of auto insurance. A way to obtain auto insurance without owning a vehicle is through non-owners SR-22 coverage.
You Utilize A Car-Sharing Service Frequently.
Non-owner automobile insurance may offer more protection than the car-sharing service itself.
You Want To Maintain Continuous Coverage
Even between automobiles, driving without auto insurance makes you appear hazardous to insurers, which raises your rates when you purchase a vehicle. Because of this, if you're going to be without a car for a short while, it can actually be less expensive to purchase non-owner insurance than to forgo coverage.
You Frequently Rent Cars
If you frequently rent automobiles, non-owner auto insurance may be what you need to avoid having to purchase liability insurance from a rental car agency.
You frequently borrow cars from other people.
You may wish to buy non-owner automobile insurance if you frequently borrow cars from friends or other people. If you get into an accident and the other driver's insurance coverage doesn't have sufficient limits to pay for the damage, you'll feel more secure. If you frequently borrow a car from someone you live with, speak to one of our representatives as you might need to be added to their policy.
Who Shouldn’t Buy Non-Owner Car Insurance
In these situations, a non-owners insurance coverage is not your best option.
You Typically Borrow A Car From Someone In Your Household
If you live with the person whose car you drive most often, you should usually be listed as a covered driver on their car insurance policy instead of getting non-owner insurance. That's because coverage may not be provided if not all household members who are of legal driving age are named on the policy, depending on where you live and which insurance provider insures the vehicle.
You Drive Rarely Or Not At All
Non-owner auto insurance might not be cost-effective if the only driving you do is occasionally borrowing a friend's car or renting a car once a year. It can be less expensive to just purchase insurance at the rental desk or to rely on a friend's insurance plan to protect you in the worst case scenario.
Can I Insure A Car That I Don't Own?
In general, you cannot insure another person's car, but you can get a non-owner coverage to cover yourself instead. This kind of insurance provides liability coverage for harm you might inflict on others while operating someone else's vehicle, but it excludes coverage for harm to your own vehicle if you are at fault for an accident. If the vehicle owner has collision insurance, it would cover that.
Does Non-Owner Car Insurance Cover Rental Cars?
Your non-owner policy's liability insurance most certainly covers injuries you cause to third parties and damage you make to their property while operating a rental car. Non-owner policies, however, do not include comprehensive or collision insurance, so they do not cover any harm you might cause to the rental automobile. Check your credit card to see whether it has coverage for this, or buy the collision damage waiver from the rental car provider.
Who Provides Car Insurance for Non-Owners?
Most significant insurers offer non-owners auto insurance. It's important to note, though, that not all insurers permit clients to purchase non-owners plans online. You'll probably need to call an agent or go to a nearby insurance agency if you need one.
How Much Does Non Owner Car Insurance Cost
Car insurance for non-owners is often less expensive than regular liability coverage. Our market study indicates that annual costs range from $200 to $600. A non-owner auto insurance coverage typically does not have a deductible.
Non-owner auto insurance covers those who don't own a car but occasionally need to drive nonetheless. Perhaps you commute by train most of the time but occasionally rent a car while on vacation or use a shared vehicle to a conference. Non-owner insurance can be the best option for you if you drive other people's cars frequently.
For all insurance requirements in Texas, TexPro Insurance is the go-to company. Zack Baldwin, the founder of the company, established TexPro Insurance in 2018, a family-run business in the middle of Houston, Texas.
Making insurance simple is what we aim to do. From the simplest personal needs to the most complicated, we can help you right here. We can guarantee that every customer is fully covered while continually lowering the cost thanks to our knowledge in Texas insurance.