If you don’t own a car but are planning to drive someone else’s vehicle for an extended period of time, you can purchase a special type of auto insurance policy called “non owner” insurance. This type of auto insurance is designed to provide coverage for drivers who are renting a car for a short period of time, or will be driving someone else’s car occasionally.
It provides very basic coverage for any car that the insured will be driving, including rental cars. Here’s what you need to know about getting auto insurance coverage when you don’t own a car:
How Non Owners Car Insurance Works
Most non owner car insurance policies provide some level of liability coverage, and will also cover medical expenses in the event of an accident. Non owners auto insurance typically does not cover the cost of towing the vehicle, collision expenses or rental car costs.
This type of coverage provides protection on any vehicle the insured will be driving, whether it’s a rental car or a borrowed vehicle. In the event that you are involved in an accident while driving a friend’s car, your friend’s auto insurance would reimburse your friend for expenses up to the liability limit on the policy, and the remainder would be covered by your non owner insurance plan.
Tips for Purchasing Non Owner Car Insurance
There are a number of reasons why someone should invest in a non owner insurance policy. People who live in a metro area and don’t want to purchase a vehicle because of limited parking, traffic problems or the high cost of maintaining the vehicle have the liberty to drive someone else’s car without worrying about what will happen in the event they get into an accident.
If someone cannot afford to purchase their own car, but will be driving a friend’s or neighbor’s car for a certain period of time, they can buy non owner insurance to make sure they are covered in case of an accident or emergency situation.
If you are renting a car for only a few days, it may be more cost-effective to purchase temporary insurance from the car rental company. However, if you plan to rent the car for more than a week or ten days, or will be driving someone else’s vehicle for more than ten days out of the year, non owner car insurance may offer several benefits.
It is still possible to get auto insurance without owning a car, and many of today’s leading insurance providers offer attractive rates for non owner insurance policies. Whether you are driving a friend’s vehicle for an extended period of time, or planning to rent a car for several days, having non owner car insurance offers a number of benefits.
Sources:
http://www.insurance4usa.com/nonowner-car-insurance.cfm
http://insurance.families.com/blog/no-car-do-you-still-need-auto-insurance
http://www.carinsurance.com/kb/content11992.aspx
