Not everyone who drives a car owns one. When they need a vehicle, some people choose to either borrow or rent one. However, no matter whose car you’re driving, you’ll need to have a reliable insurance policy. It can assist you with meeting your state’s minimum insurance requirements, protect you from financial loss if you’re at fault in an accident, and provide evidence of coverage.
We’ll go over all you need to know about non-owner auto insurance in Texas cities such as Brownsville, Odessa, Victoria, etc, including what it covers and doesn’t and when you might need it, so you can decide if it’s right for you.
What is Non-Owner Car Insurance, and How Does It Work?
Liability coverage for people who drive but do not own a car is known as non-owner auto insurance. A non-owner policy is a relatively affordable choice for purchasing auto insurance liability coverage, whether you frequently rent or borrow a car or need to file an SR-22 without a vehicle. Non-owner vehicle insurance is often 5-15% less expensive than a conventional coverage.
If you cause an accident, liability coverage compensates for the damage and injuries you cause to others. For instance, if you get into an accident and another person is injured, non-owner automobile insurance may cover their medical costs.
Non-owner insurance plans typically contain any state-mandated forms of coverage and the option of adding extra coverages like uninsured/underinsured motorist and personal injury protection (PIP). However, non-owner insurance policies do not offer collision or comprehensive coverage because they do not cover a specific vehicle.
Read More: The Ultimate Auto Insurance Guide
What is Covered by Non-Owner Car Insurance?
Non-owner car insurance covers the following if you cause an automobile accident while driving a rental car:
- If the other driver is injured in an accident, the automobile’s insurance coverage will take effect first. The coverage includes expenses associated with the bodily injury you inflict to others, such as medical bills, auto repair fees, or property damage.
- If you or any of your passengers are injured in the collision, medical payments (also known as MedPay) will reimburse your medical expenditures.
- Personal injury protection, or PIP, is a type of insurance that covers more than just medical expenditures. It may also cover lost income if you are unable to work while recuperating from an accident.
- When you cause damage to someone else’s property, whether it’s a vehicle, a building, or a fence, property damage liability pays for the repairs.
- If you’re sued for causing an automobile accident, you’ll get the coverage to ensure legal defense.
Is Non-Owner Auto Insurance Required?
There are a few reasons why you might want to go for non-owner auto insurance:
- You often rent automobiles
If you rent cars frequently, non-owner coverage may be less expensive in the long term than purchasing rental car insurance
- You frequently borrow other people’s automobiles
Non-owner insurance coverage may also be a helpful option if you often borrow automobiles from friends or other individuals.
It guarantees a specific amount of coverage every time you drive, so you don’t have to worry about the car owner’s insurance policy covering you or the liability limitations being too low.
- You’ve sold your automobile or won’t be driving it for a long time, such as when serving in the military.
Because non-owner vehicle insurance is less expensive than regular coverage, being protected with a non-owner policy might be a sensible choice, especially if you may need insurance in the future. This is especially true if you own a high-priced automobile.
In addition, if you are in the military and are stationed overseas, non-owner insurance may be the most cost-effective alternative if you leave the nation.
- You’re attempting to have your driver’s license renewed following a significant infraction
If you’ve been charged with a DUI or a significant traffic infraction, you may require SR-22 or FR-44 insurance to reinstate your driver’s license. SR-22 rules may need higher limits, and you may be required to maintain this coverage for a period of two to five years to keep your license.
Because you can’t file an SR-22 yourself and must rely on your insurer to do so, non-owner SR-22 insurance may be useful, especially if you don’t own a car. The firm where you bought your non-owner insurance may file the SR-22 on your behalf and get you back on the road to getting your license reinstated.
Recommended Reading: Liability vs. Full-Coverage Auto Insurance: What’s the Difference?
Who Isn’t a Good Candidate for a Non-Owner Policy?
If you don’t own a car, you shouldn’t buy non-owner vehicle insurance.
- You own a vehicle.
- You borrow a car from someone you live with
- You drive a corporate automobile for business purposes exclusively.
What is the Expense of Non-Owner Car Insurance?
In general, non-owner policies are 5-15% less expensive than ordinary policies with equivalent coverage. When comparing non-owner insurance to a full-coverage policy or insuring a high-value vehicle, however, the savings can be considerable.
The cost of non-owners insurance coverage varies depending on the following factors:
- Your insurance policy’s limits
- Your record as a driver
- Where do you reside?
- How frequently do you plan to drive?
How to Get Non-Owner’s Insurance
It might be difficult to tell whether or not a firm provides non-owner automobile insurance. Some firms exclusively sell insurance to current policyholders. Others may only provide non-owner car insurance in specific states.
You won’t be able to get a quote for non-owners vehicle insurance online, unlike a standard policy. Instead, you’ll have to call a customer service person to receive coverage. Before you can acquire insurance, you’ll almost certainly need to supply some personal information, such as proof of identification, your driver’s license number, and a payment method.
It is always ideal to consult an independent broker who can help you compare coverage and shop around for the best rates to obtain the best rates.
Are You Looking for Non-Owner Insurance?
It’s critical to plan ahead of time for out-of-pocket expenditures arising from vehicle damage. Accidental financial loss is unavoidable without vehicle insurance, especially if you are using a rented or borrowed vehicle to ride inside the cities like Corpus Christi, El Paso, and Beaumont.
If you are looking for an insurance provider who can get you the best auto insurance quote possible, you have come to the right place!
At TX Insurance Quotes, we are dedicated to understanding the requirements of our customers. We will help you get the best non-owner car insurance coverage to help you mitigate the damages caused in the event of an accident.