Reader’s Question:

I have a drivers license here in Detroit Michigan however I do not have a vehicle, do I still need to get car insurance? What is non owners car insurance, and is that what I need to buy?

Martin

Detroit MI

According to the Michigan Secretary of State (SOS), you are not required to get car insurance when getting a driver’s license but if you own a vehicle you need to buy Michigan no-fault insurance before registering their vehicle. Out-of-state insurance policies cannot be used to meet Michigan insurance requirements for registering a vehicle.

In Michigan you are mandated to carry Michigan no-fault insurance certificate in your car or need proof of insurance when you drive. Failure to provide proof of insurance to a police officer may result in suspension of your drivers license. Until proof of insurance is provided, the Secretary of State will not renew your license. You will need to pay $50, plus any other fees required by law.

You do not have a car but operating other people’s vehicle, the best you can do is to purchase non-owners insurance in Detroit Michigan. This gives coverage to a motorist liability protection if they do not have a car and they are at fault in an accident. Non-owners car insurance policies can typically include Liability, Medical Payments, and Uninsured/Underinsured Motorist coverages.

Reader’s Question:

I would like to know where I could buy a non owner auto insurance?

Jim

Chicago IL

If you are looking for a non owner auto insurance and you are having a hard time looking for this type of insurance the best way to do is to contact some local independent insurance agents that have access to various non standard car insurance companies.

You may also want to try contacting the state’s insurance regulator to determine if they may have a list of car insurance providers that offer non owners auto insurance policy that you need.

If you are able to find a car insurance carrier that sell non owners auto insurance you will be needing your drivers license number and any of the following:

• Driver’s License Numbers for all drivers
• Social Security Numbers for all drivers (if applicable)
• Credit card/checking account information

You will also need to have information on any of the following items:

• General questions
• Drivers/Household Residents
• Violations or Incidents
• Coverage Selection
• Account Setup

Reader’s Question:

My friend told me I could get a nonowner’s auto insurance for myself and his car that I always borrow. What is a non owners auto insurance and how do I get one?

Archie

Buffalo, New York

Most action flicks show rented cars being shot at, flipped over, or blown to million smithereens, as if it were the most natural thing on earth. In real life, though, things are not as simple as they appear. The slightest damage on something (or someone) while driving a borrowed vehicle can have you saying goodbye to a major chunk of your life savings. This is where non owners auto insurance comes in.

Non owners auto insurance covers any collateral damages that may occur while you drive a vehicle that is either borrowed from a friend or rented from a leasing company. Depending on the coverage of the policy, non owners auto insurance provides the driver with enough liability coverage to avoid further cash outlay.

Think you need to get this type of insurance policy? Here are some tips to guide you with your purchase.

1.) Get as many quotes from insurance providers as you can. Compare prices, coverage schemes, and payment terms to ensure that you get a policy that is both reasonable and affordable.

2.) States usually assign a risk program to insurance companies. Ask the insurance agent if the policy they are offering you is in accordance with the state’s risk program.

3.) Since you do not own a car, the only type of insurance coverage you need is liability. Don’t allow yourself to pay for anything more than that.

Reader’s Question:

Is rental car insurance required if I already have my own non owner auto insurance?

Lynne

Denver, CO

There are several situations that would necessitate renting a vehicle. One is if your own vehicle is in the shop after a covered accident. In which case, inquire from your insurer if Rental Reimbursement is present in your non owner auto insurance policy. If it is, then all the charges and other fees relating to the rental vehicle should be picked up by your insurance provider. If Roadside Assistance is in effect, then you can readily avail of this service from your insurance carrier if the rental vehicle breaks down. This way, you would not need to pay extra for repairs and/or towing to the rental company. When renting a vehicle, it would be advisable to obtain the Loss Damage Waiver (LDW) to supplement your non owner auto insurance. This way, you will be absolved of any financial accountability if the rental vehicle sustains damages while in your care. This, however, will be considered null and void if the vehicle was used illegally. Moreover, if it was driven off the road and is damaged because of that, then you will forfeit the benefits of the LDW and will end up paying for the repairs. If your non owner auto insurance has Comprehensive Insurance, then check if this will cover the repairs cost of the rental vehicle.

Reader’s Question:

Will a non owner auto insurance or SR22 in Florida be accepted if I drive in California?

Serena

Jacksonville, FL

An SR22 can be directed by the State of Florida for an individual based on two things. First, it can be required of an individual who had a serious traffic violation and was unable to present any form of proof that car insurance was in effect at the time of the arrest. One traffic violation could be driving while drunk or intoxicated of other regulated substances such as drugs. It could also be following a car crash where an individual was unable to show any capacity to pay the damages. These two situations could trigger a filing of SR22 since individuals involved in these types of traffic incidents will both be required to show proof of future financial responsibility. The filing of SR22 is then done by the insurance carrier in behalf of the policyholder. This will be done with the Department of Motor Vehicles in Florida.

Meanwhile, there are other motorists who do not have serious traffic convictions but have SR22. These are individuals who have a non owner auto insurance policy. They may have opted to obtain such coverage to save on car rental insurance. This type of insurance also covers other borrowed cars.

In your case, since your SR22 is due to having non owner auto insurance, then there isn’t any reason why it shouldn’t be honored in the State of California.

Reader’s Question:

I live in Texas in an apartment that I share with a couple of friends. We also share my car. Do I need to put them under my auto insurance policy? Should I require them to get non owners auto insurance coverage?

Danielle

Austin, TX

Anyone in your household with a valid driver’s license or learner’s permit could be listed under your motor vehicle insurance policy. The first thing to determine regarding your situation would be if your friends already have their own auto insurance. There is such a thing as non-owner’s auto insurance which covers people who don’t own cars but probably often drive a borrowed one. If it turns out that they don’t have auto insurance, then it would be a good idea to include them under your policy. This will save you from a lot of headache in the future if in case something unfortunate happens on the road and one of your friends happens to be the one driving your car.

With or without them included in your policy, your auto insurance still remains as the primary basis for coverage because you own the vehicle and it’s registered under your name. But if one of them does get involved in an accident using your car and he or she is not under your policy, you could face a little difficulty in processing your claims. Worse, the auto insurance company may actually view the situation negatively and deny you coverage.

Taking them in may actually cost you a little extra. But you could always ask your friends to help out with the added expense. It would only be fair. Of course, they can always get non-owners’ auto insurance but that would probably cost them more than just simply making a contribution to your premium payments.

Reader’s Question:

My work here in Oregon entails a lot of driving. I don’t have my own car, but I want to make sure that I am covered in case I get into trouble while driving another person’s car. Is it possible to have insurance even if I don’t own a car?

Tracie

Portland, OR

It is possible to get auto insurance in Oregon even if you don’t own a car. When you drive another person’s car, the insurance of that car will cover you as long as you were given consent to drive the car. Otherwise, you will be held personally responsible if you get into an accident and you were found to be at fault.

If the car is owned by someone who is part of your household, it is common practice for auto insurance companies to include you in that person’s auto insurance coverage.

If you think that you would feel more comfortable having your own auto insurance policy even without owning a vehicle, then try getting a non-owner’s insurance policy. Most auto insurance companies offer this policy to those who frequently drive vehicles that are owned by other people. Usually, a non-owner’s insurance policy includes coverage for liability, medical bills, and uninsured or underinsured motorist/s. This goes for vehicles that are either owned by a friend or those that are rented. However, this policy doesn’t include coverage for towing or rental reimbursement, comprehensive, or collision.

If you get in an accident while driving a friend’s car, you may expect your friend’s insurance to be used first. However, if you were found at fault, whatever your friend’s auto insurance policy can’t cover must be covered by your insurance policy (as long as it is within the stated limits).