Damages to Borrowed Cars Are the Responsibility of the Car Owner
By: Edward L. Blais, JD, CIC
President, Blais Insurance
As families in Rhode Island prepare to welcome guests perhaps for the upcoming holidays, car owners should be aware of a common issue that could impact their auto insurance policy. To help dispel a myth about sharing vehicles, Blais Insurance would like to clarify who is responsible for damages if a family friend or relative has an automobile accident with your car.
When friends or relatives stay over for Thanksgiving or Christmas, hosts often lend their vehicle to visitors who want to go sight-seeing or shopping. Whatever the case may be, there is an assumption that the operator’s insurance will handle any claims. That is never, usually, the case.
If a guest were to accidentally drive the borrowed vehicle into a tree for instance, the car owner’s collision coverage would cover the damage to the vehicle. Also, depending on the deductible, the car owner could have to contribute hundreds or even thousands to the repair. This might be an uncomfortable scenario to be in with family or friends who might not feel that they are to blame for the accident. Perhaps the borrowing guest could agree to contribute toward, or even assume payment of the full deductible, to ease the pain of the predicament.
Blais Insurance understands that the decision to lend a car rests solely on the owner. With this article and all of our other communications, we always hope to educate policyholders with valuable insurance-related information that informs individuals about what to expect in the event of an accident. Whether you need additional auto, home, or business insurance coverage, call Blais Insurance at 401-725-0070 to receive a fast and hassle free quote.
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