Car insurance is a good idea for many reasons, especially emergencies. The theme of insurance is to prepare for the unexpected. Emergencies are no different. You never know what is going to happen, so it is always a good idea to be prepared for anything.
Sticking with the theme of the unexpected, it is important to have car insurance incase someone needs to borrow your vehicle. It’s quite possible that an emergency will arise sometime in your life, whether it is life threatening or not, that will cause someone to use your car. Having insurance on your vehicle allows you to adapt to these emergencies without added worry.
Depending on the company you use, car insurance often times stays with the car. No matter who is driving the vehicle, the same insurance policy will apply. This is great news. This will allow you to lend your car out to anyone you trust, knowing that they will be covered. It’s just important to read the fine print and ask your company to make sure the insurance stays with your vehicle. It’s not as common, but some policies do follow the driver so be sure to know which one you are paying for.
However! Even though this all sounds great and you are feeling confident about lending your automobile to a friend, there is something to remember. The responsibility of the policy almost always stays with the policy holder. So what does this mean?
This means that if your rates increase because of an accident caused by one of your friends, in your vehicle, YOU will most likely be responsible for paying the increase in your rates. So, not only remember this yourself, but also remind your family members (especially your teenagers) that it is not a good idea to let someone borrow your vehicle unless it’s necessary.
If your vehicle is not currently insured or you want to change your policy so that it follows your vehicle instead of the driver, give your car insurance agent a call. Remember to read the fine print before you purchase any insurance policy, and know exactly what is and isn’t covered when it comes to other people using your vehicle.