Although you need to own an auto insurance in most states if you have a car, you can also get a policy if you don’t have a car. This type of policy is known as non-owner car insurance.

What is non-owner car insurance?

Non-owner car insurance is a type of insurance for people who personally do not own a car but sometimes drive vehicles owned by others. Non-owner car insurance offers coverage for bodily injury and property damage claims if the policyholder is found guilty but does not offer coverage for collision (protection for damage of your car if involved in an accident) or comprehensive coverage (protection for damage to your car from cases like vandalism or fire)

In some states, this type of insurance does not offer coverage for medical claims.

It would be good to note that non-owner car insurance comes into play only after the car owner’s traditional auto insurance has exhausted its payment limit.

Non-owner car insurance

Who needs to purchase a non-owner car insurance

Non-owner car insurance is not needed for those who already have traditional car insurance. You need a non-owner car insurance if you do not own a car insurance or fall into one or more of these categories;

If you occasionally rent cars: if you rent a car you would need to purchase non-owner insurance. Even if your credit card may provide you with coverage if you pay the rental with it, the coverage is usually minimal and it’s only for damages to the car and so would not be able to cover if the accident is major.

If you need to make up for a pause in The payment of your auto insurance: if for any reason you decide to stop driving s car and you have a car insurance policy and decide to stop payment too, it is advised to get non-owner car insurance. This is because if you decide to start driving a personal car again, getting car insurance would cost more than usual. So before you finally cancel your auto insurance policy, endeavor to fill in the gap by purchasing non-owner car insurance.

If you borrow a car with low minimum liability coverage: if you get to borrow a car with a low minimum liability coverage it is advised to buy non-owner insurance because in the event that you get into an accident and the claims exceed the minimum coverage you may need to pay 1from your pocket, which can be avoided if you had a non-owner car insurance policy.

It is also important to note that if you borrow a particular car regularly from the same source, say, a family member, you may have to be included in the car owners policy by law.

Tips to purchasing a non-owner car insurance

If you’ve analysed the cases listed above and you’ve concluded that you need non-owner car insurance, the next step is to know how and where to buy your policy. 

To buy non-owner insurance, contact any insurance company that deals with auto insurance. chances are that they also offer non-owner car insurance although some only give such offers to their already existing customers who wish to drop their auto insurance for the reasons stated above.

Secondly endeavor to verify from your state’s insurance department that the insurer you want to shop from is licensed to do business in your state

Also you can employ the services of an independent insurance agent. As they may have different options that you can choose from.

Endeavor to check all your options and choose which is best for your needs, your finances and aligns with your state laws.