Who is Covered By a Personal Auto Policy?

A personal auto policy is required by law across all states in America. If you are planning on driving a vehicle, then you need to purchase insurance for this vehicle. Although every state is different, in most instances, the different types of coverage for your vehicle follows the vehicle rather than the driver. What this means is that other people may be permitted to drive your car and be covered under your personal auto policy. Keep in mind that every state is different so make sure you read the specific rules and regulations for your particular state.

Family and Friends Auto Coverage

When you are choosing your personal auto insurance policy you will need to list family members that are able to drive your car on your policy. This includes your spouse and children that are of legal driving age. As long as they are listed on your personal auto policy, then they will be covered. As soon as you start living with someone or as soon as your son gets his license, you need to update your policy to reflect these changes.

You do not, however, have to list every single friend not living with you that may drive your car on your policy. Your friend may borrow your car and still be covered under your personal auto policy in almost all instances. As long as the driver has permission to drive your car, then he will be covered if something goes wrong. The only time this does not apply is if the friend does not have a valid driver’s license.

Keep in mind that you are only covered for the amount of insurance you have bought. If, for example, you do not have comprehensive coverage and your car is stolen while your friend is driving it, your insurance provider will not automatically let this slide. You need to purchase adequate coverage regardless of who is behind the wheel.

Another important thing to remember when determining who can drive your car is that if you willingly let someone with an invalid or suspended driver’s license drive your car, you will not be covered. Furthermore, you may face fines, fees and driver suspension for allowing the driver to operate your car without a valid license.

What is Covered Under a Car Policy?

When comparing personal auto policies you will be able to choose the amount of coverage you want. Most states require their drivers to purchase bodily injury liability and property damage protection while some states also require a certain amount of uninsured motorist coverage and personal injury protection. If someone else is driving your vehicle and is in an accident, then all of these insurance options will remain valid.

While auto insurance typically stays with the car rather than the driver, personal injury protection follows the driver, rather than the vehicle. It is a good idea to ensure that the driver (your friend, for example), has PIP on his own policy. This will pay for any medical related costs that he incurs in the event of a car accident.

If a family member that is listed on your personal auto policy is driving and seriously injured, then their medical costs will be covered under your PIP plan. This is why it is so important to choose PIP with high enough limits to cover the costs to all members of your family. Policies that include $200,000 to $300,000 worth of PIP are not uncommon in many states. When you are looking into who and what is covered under your auto policy, it is best to be prepared for anything, regardless of who is behind the wheel.

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