Guides / Borrowing, sharing, rideshare
Borrowing or lending a car: whose insurance pays?
How coverage usually works when someone else drives.
In many cases, car insurance follows the car: the owner's policy pays first when someone else is driving with permission, and the driver's own policy may pay after that. But policies and state rules vary.
Before lending your car
- Check whether your policy covers "permissive" drivers, and any limits
- Household members usually need to be listed on the policy
- A crash by a borrower can affect your claims history and premium
Before borrowing
- Ask whether the owner's insurance covers you
- Check whether your own policy covers you in a non-owned car
- Carry the owner's insurance card and registration
Educational information, not insurance or legal advice. Confirm coverage with your insurer, card issuer and rental company. Global Auto Coverage is not an insurer, broker or rental company and takes no referral fees.