How to loan someone a car with car insurance?

Your auto insurance should cover having other people drive your car.

If your car is on the road being driven, you should have insurance. In fact, isn’t it the law to have insurance? I know in my state, North Carolina You must have insurance to have a valid registration.

The insurance is on the car, purchased by the owner, not on the driver. If I was you, I would have the driver named on the policy you buy, and then charge him for the premiums you have to pay.

The owner of the car is responsible for whatever happens to it, no matter who is driving.

It depends on your policy; sometimes it’s the car that is insured, sometimes it’s the driver.

@cak I think NH is one of the few states where you don’t need insurance.

@jerv thanks! I was wondering if it was a national thing or just a state-by-state. I was being lazy and not googling!

Why are you and your car not insured; that’s the first question. Don’t lend your car unless you insure the car and yourself. You may have liability for the borrowers actions while using your car. That’s my opinion.

@perspicacious The only person who ever drives my car other than me is my wife. Ever. Then again, I now live in WA where, like most states, insurance is mandatory.

You’re insuring the car. The car does the damage and can be damaged. If the driver is unlicensed or impaired, you are responsible. If they total your car, you are responsible. If the car is not in your name, you cannot lend the car out, as only the owner of the car may authorize another person to drive the car. If the person does damage or harm while driving a car that you lent that is registered in your deceased husband’s name you will most likely be personally liable for any damage.

@jerv Hi. My point to her is that when you lend you car, you may be held responsible for the borrower’s negligence. Your own insurance covers that (in my present state). Guess what? I’m moving to WA in a couple of weeks.