If you're a driver, you probably already know the basics of car insurance and its minimum requirements in your state. However, if you are a driver who doesn't own a car but uses one from time to time, read on, this is for you. I'll explain what non-owner liability auto insurance means and what it covers so that you can decide if it's right for you.
What is non-owner liability insurance? Non-owner liability insurance speaks for itself - it is auto insurance for drivers who don't own a vehicle. This type of insurance is a good idea for people who rent cars frequently, or borrow vehicles occasionally.
What does it cover? It is liability insurance so it covers damages that you cause to other people or vehicles - not the vehicle you are driving (regardless of it being rented or borrowed). It will generally cover bodily injury and property damage.
Bodily injury covers the medical expenses of the other vehicle's driver and passengers that have been injured as a result of your negligence on the road. Property damage covers the cost of repair that the other vehicle (or vehicles) incur in an accident where you are at fault - keep in mind that your own rented vehicle or borrowed vehicle will not be covered.
What type of vehicles are covered under your non-owner liability insurance policy? This type of auto insurance only covers rental vehicles and borrowed vehicles. It doesn't cover any vehicle that is registered or titled under your name. Neither does it cover non-passenger vehicles or vehicles owned by anyone who lives under your roof. Work-related vehicles and vehicles lent to you on a regular basis are not covered either. However, even though it has limitations, it can help you save money if you rent vehicles frequently, because you won't have to purchase rental auto insurance each time you rent a car.
If you don't think that this type of insurance is sufficient (since it doesn't cover the vehicle you drive or the people within), you may want to consider purchasing additional insurance such as comprehensive and collision insurance or personal injury protection.
Just like with other types of auto insurance it pays to shop around to find the best car insurance rates for your non-owner liability policy. The best way to find low insurance rates is by comparing different providers to see which one has the best rates and discounts.
At GET.com, we've done the homework for you so that now you can save both time and money! Compare car insurance right here in a click. Or enter your state in the box below to find the best insurance rates in your area.