Non Owners Auto Insurance

Non owners auto insurance may seem like a complicated topic, but understanding exactly what this type of auto policy is and what it means to be a non owner can simplify the topic immensely. Non owners vehicle insurance covers any damages a driver causes to someone else's property or body while driving a car the driver does not own. For people who don't drive regularly and only need coverage once in a while when borrowing or renting a car, non owners coverage may be perfect.

Non owners car coverage in a driver's name provides protection against liability (financial responsibility when someone is injured), protection against uninsured or underinsured drivers, personal injury protection and coverage for medical payments. Unlike normal auto insurance, non owners automobile insurance does not cover rental reimbursement, towing reimbursement or comprehensive/collision damage. For a few hundred dollars per year, ensuring that you are covered under a non owners policy is vital to being safe and financially secure on the road.

Limits on Non Owners Insurance

If you own a car of any kind, getting a non owners policy is not the correct decision. You cannot add any drivers to a non owners auto insurance policy, as only the person listed as the insured party will have coverage. In addition, coverage under this type of policy is not provided for any vehicles registered to the policyholder, cars owned by the policyholder not registered in his name, work-related or non-private (commercial), cars owned by other residents of the policyholder's household, or autos loaned to the policyholder for regular use.

Another important thing to remember after you purchase non owners car insurance is that any car you purchase or acquire must be added to the policy separately or they will not be covered in the event of an accident. Many people mistakenly think that once they have coverage from a reliable vehicle insurance broker, any auto they drive will be covered, but those individuals are often left having to pay thousands of dollars in repair, court and hospital bills. To avoid this nightmare, call the insurance company that holds your non owners auto insurance policy and tell them the details of your newly acquired car. You will be responsible for any additional premiums or charges brought about by the newly added automobile.

A Situational Necessity

Often with a topic like an auto policy for an individual who doesn't drive a car, an example is the most effective way to describe an ideal situation for this need. Let' say Dan Driver is a busy professional who works 60 hours a week. Dan lives in a major city, so he doesn't drive often; he usually takes the bus or train or he walks from his house to work and to personal affairs like errands and social events. Dan is married, but his wife owns a car in her own name and has auto insurance under her own policy.

Every few weeks, Dan's job demands that he attend meetings about an hour from his house, and for these he borrows his neighbor's auto. In addition, once every three or four months, Dan flies across the country to work at conferences, where he rents a car to get around. What type of non owners automobile insurance is right for Dan?

In this example case, Dan would be wisest to get quotes for and choose the best one. Because he doesn't own a vehicle or use one regularly, getting a basic full coverage policy would be overkill and he would most likely wind up paying for coverage he doesn't need. With this type of auto policy, Dan would be able to drive his neighbor's car as well as drive a rental car without purchasing additional insurance or worrying about the consequences should be get into an auto accident. Moreover, he would be able to drive his wife's auto and still be covered.

Weighing the Options

Because of the many limits and fairly narrow scope of non owners automobile insurance, it is crucial to weigh all options in the insurance industry before settling on this type of coverage. Car owners should look elsewhere, and even drivers who have regular access to an auto may want to steer clear. But for certain people with casual car use, this kind of auto policy may be the perfect fit and certainly won't break the bank.

Non owners auto insurance can provide ideal coverage, so make a checklist of all the situations in which you need to make sure you are covered. Think about all the times you drive and whose cars you are driving, how often you are a driver, and whether this schedule will be mostly consistent over the next year or two. With these factors in mind, decided whether this type of policy is right for you and begin the process of making sure you are insured.


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