What Happens if Someone Who Isn’t on Your Insurance Crashes Your Car?

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What Happens if Someone Who Isn't on Your Insurance Crashes Your Car

Car insurance offers financial protection in case you get involved in an accident on the road. The monthly premiums take up some space in your budget, but insurance policies offer additional safety and make it easier to recover from an accident. However, some incidents may feel like gray areas making it unclear whether and how your insurer will cover damages. One of those scenarios is when someone not listed on your insurance plan crashes your car. Will your insurance company still pick up the tab and help with repairs? This guide will cover what you need to know.

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Understanding how insurance coverage works if someone crashes your car

Each insurer has different rules, but most of them focus on the car rather than the driver. Most insurers will recognize that your insured car got involved in an accident and needs repairs. The insurer may require the driver to cover financial costs under certain scenarios. For instance, the driver becomes responsible if that person is unlicensed or stole your car.

Permissive vs. non-permissive use

Insurance companies will look at the relationship between you and the driver when assessing financial responsibility. It ultimately depends on whether you knew the driver was in your vehicle or not.

Permissive use

Permissive use applies when you knowingly give permission for someone to use your car. You may have let a friend or family member drive your car. In most cases, your insurer will cover the damages incurred for permissive use. 

Non-permissive use

Non-permissive use occurs when a driver steals your vehicle or uses it without your knowledge or permission. Most car insurance policies do not cover damages for this type of accident. Your best paths to receiving compensation for the accident are to file a police report and pursue legal action against the driver who used your vehicle without your permission.

Potential consequences and financial ramifications

When someone who is not on your insurance policy crashes your vehicle, it will likely have financial ramifications. The context surrounding the accident impacts how much you will have to pay and the hurdles along the way.

Increased insurance premiums

Your insurance company will typically raise your premiums if your vehicle gets involved in an accident. If a driver who is not on your policy crashes your vehicle, you may be held responsible for damages and injuries. This accident may be considered an at-fault accident at the discretion of the insurer.

Out-of-pocket expenses

Out-of-pocket expenses could get expensive, especially if you have a high deductible, the vehicle gets severely damaged, or the driver requires medical services. This risk could strain your finances, so it’s important to be careful about who gets to drive your car.

Deductible payments 

You will have to pay a deductible before your insurer starts to cover the damages. Deductibles vary based on the terms of your policy. Paying higher premiums before the accident results in lower premiums. However, if you opt for low premiums for your policy, you will face a higher deductible. This upfront payment can prove to be costly.

Damage to your vehicle’s resale value

Some drivers want to sell their vehicles in a few years because of changing preferences, cutting costs, bringing in additional cash, and other factors. You may not be thinking about selling your car, but damages that are incurred could hurt its resale value if you decide to sell. Car facts will show that your vehicle got involved in an accident, and that could hurt your profits from a sale.

Preventive measures for car owners

Anyone can get involved in a car accident. While you can’t control every factor, such as the drivers you share the road with, it’s possible to take several preventive measures. These are some of the strategies you can use to decrease the likelihood of getting involved in an accident.

Stay off the road late at night

Most drivers are less alert as the day continues, especially if you drive in the middle of the night. Car accidents happen more often from midnight to 6 a.m., so it can help if you stay off the road during those times. Driving on highways could lead to more severe injuries and vehicle damage. However, you are more likely to get in an accident on a smaller road.

Staying off the road late at night can minimize the likelihood of a high-risk driver getting into an accident. These types of safety protocols can help ensure you don’t have to file a claim in the future.

Review your policy

It may have been several years since you got your first car insurance policy. It’s a good idea to review it to see if you are happy with the coverage, premiums, and deductible. 

Get additional coverage options

Car insurers sell additional policies and riders that strengthen your existing car insurance policy. You can add medical payment coverage, uninsured motorist coverage, and other safeguards to your existing policy. These safeguards will increase your monthly payments, but they could save you thousands of dollars if an accident takes place.

Protecting the People in Your Car and Your Finances

Being protective about who goes in your vehicle can minimize the amount of damage your vehicle incurs. When it’s time to hand the keys to your children, try to teach them good driving habits and make sure they aren’t driving around past midnight. Car insurance policies offer many protections, and if you want a little more coverage, insurers have extra riders and other products.


Will my insurance cover medical expenses if someone who isn’t on my insurance is injured in the accident?

Some insurers cover medical expenses, but you should check your coverage. Many insurance providers offer coverage for medical payments as a separate product.

Can I add someone temporarily to my insurance after they’ve already crashed my car?

No. You cannot temporarily add someone to your insurance after they have already crashed your car.

Should I call my insurance company before contacting the person who crashed my car?

You should call your insurance company before contacting the person who crashed your car. 

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