Car Borrowing Series: What if I Crash My Friend’s Car?

Posted in Auto Insurance , Auto Insurance Claims

September 25th, 2009

We have all been in situations where we need a little help from our friends. From a shoulder to lean on, to fashion advice to borrowing their car, the list of what people do for the ones they love is endless.

What if you crash your friend’s car after they loaned it to you? Although the specifics vary from state to state, there are a couple of scenarios.

Scenario 1: Your friend let you borrow their car

If your friend willingly loaned you their vehicle and you have car insurance on another vehicle, both your insurance policies will kick into to gear to cover the expenses incurred by the accident.

The only thing not covered will be the deductible and a good friend who borrowed the vehicle would pay that amount without any question or hesitation.

What if I don’t have insurance?

Things get a little more complicated if your friend loaned you the vehicle and you do not have any car insurance. If you get into a serious accident resulting in bodily injury, your friend’s insurance will pay up to the maximum, but if your damage exceeds their policy limits, your friend will be held legally responsible for the financial difference.

Once again, a good friend would step up and pay off any further debt.

Scenario 2: You borrowed the car without permission

What if you borrowed the car without getting consent from your friend and you get involved in an accident? If you have insurance on another vehicle then your policy should kick in to cover the expenses as you borrowed the vehicle without their knowledge.

If you do not have insurance, your friend will be held financially responsible and their insurance will kick in unless they can proveextenuating circumstances and complete lack of knowledge for you taking their car. Ultimately, in that scenario,chances could lead to your criminal prosecution and the complete end of that friendship.