5 Things to Consider before Handing over the Keys to Another Driver
Your friend just needs to borrow your car for the night to get a few things marked off his to-do list, and you do not mind lending them your wheels to help them out. After all, may driving record may be pristine, and if anything happens, their personal car insurance will cover any costs, right? Wrong.
Lending a car to another driver can have a significant impact on you, the car owner, if an Orlando accident occurs. Before handing over your keys, here are five things you should know to keep yourself protected in case another driver causes an Orlando car accident in your vehicle.
- Your car insurance follows your car –The comprehensive and collision insurance on your vehicle follows the car, not the driver. This means that if an Orlando auto accident happens while another person is driving your vehicle, you are still liable for the costs, and your premiums will still be affected as a result of the crash.
- Your friend’s insurance works as a secondary insurance –If your friend has car insurance, he may be able to cover the costs of personal liability in the event of a crash. This means that if your policy limits have been reached, your friend’s coverage may be able to help pick up remaining medical expenses to be paid.
- You are responsible for all costs if your friend is uninsured –If your friend does not have insurance and causes the accident, you may be held liable for all costs. If you have low limits on your policy, this could put you out a lot of money.
- You can exclude people from your policy –If you have a friend or family member who wants to use your car, you can exclude them from your driver’s policy. If an Orlando accident occurs while an excluded driver is behind the wheel, your car insurance will likely not cover the costs of the accident.
- If your friend did not cause the accident, the other driver is still at fault –Even if the car is not owned by the person driving at the time of the accident, if another person causes a traffic accident, the negligent driver is still at fault and responsible for the costs associated with the collision.