What Happens if Someone Else Crashes Your Car?

My Friend Borrowed My Car and Crashed It … What Now?

You let your friends borrow your phone to check something on the Internet. You let your friends borrow a pen. You let your friends use your sunscreen. But do you let your friends borrow your car? Anyone who has let their friend borrow their car has probably asked, “What happens if my friend crashes my car?” Getting into a wreck while you’re in control of a vehicle is frightening, but what happens if you’re not in the car and your friend of someone you know crashes it?

Car crashes that occur while someone else is operating your vehicle are complicated, and the scenario raises a series of intricate questions. Whose insurance is going to cover the damages? How do I protect myself? What happens if I was a passenger while someone else was driving my car? This article explores these questions and more.

In The Article

Whose Insurance Policy Pays Out When a Borrowed Car Is Crashed?

It depends. Determining whose insurance policy will cover a collision in a scenario where a vehicle has been borrowed can depend on who is at fault in the wreck. If the other driver is found 100% at fault of the wreck, the answer can be simple: the negligent driver is responsible for the damages, and their insurance company will be responsible for the damages.

However, if the person driving your vehicle is found to be partially or solely at fault for the crash, things with insurance companies can get muddied.

Generally, your insurance company will be the one on the hook for covering costs for an accident caused by someone else who was driving your vehicle. Although you may think this makes things ok, there are consequences from your insurance company that could affect your wallet.

Does the Insurance Company “Punish” People if Someone Else Crashes Their Car?

Depending on your insurance policy, an insurance company may increase your premium, if you have to cover a collision in which someone else was driving your vehicle.

Additionally, if you don’t have enough insurance to cover all the costs after someone else wrecks your car, the person who is driving may have to use their car insurance policy as a secondary form of coverage. Additionally, injured parties may be able to pursue compensation directly through the driver or you (for allowing another person to drive your vehicle), if the driver of your car doesn’t have their own insurance policy, or their policy doesn’t have adequate coverage.

How Can I Protect Myself If Other People Borrow My Car?

Cars are expensive, and not everyone has one. Wanting to lend your car to a friend for a quick trip or even for their Friday night work shifts can seem natural. Sharing vehicles, carpooling, or allowing another person to driver your vehicle are not inherently bad things. However, there are ways you can protect yourself from footing the bill or paying higher insurance rates due to an accident you didn’t even cause.

If you share a vehicle with someone, or find yourself loaning your vehicle to a friend, here are a few things you can do to protect yourself:

Know Who is Driving Your Car

For most New Mexicans, vehicles are the second most expensive items they will have to purchase and maintain in their lifetime. While allowing others to share your vehicle may seem generous, always be aware of who you let you it. Some things to consider:

• Their driving record
• Any traffic violations they may have
• Are they a careful driver?
• Are they an experienced driver?
• Do they have DWIs?
• Why don’t they own a vehicle?
• Do they have their own insurance?

Understand Your Insurance Policy

Understanding your insurance policy when letting others driver your vehicle is critical to protecting yourself when you hand over the keys. You cannot retroactively increase your policy limits for a collision.

If you have minimum liability insurance and someone is seriously injured, policy limits will likely not cover the extensive medical bills, lost wages, or loss of income they incur.

Each insurance company has different policy types and supplemental types of insurance that provide significantly greater coverage than minimum liability requirements.

If you’re in doubt, contact your insurance company to ensure you’re covered should a friend crash your car.

Adding Drivers to Your Insurance Policy

Adding more drivers to your policy could help keep you covered and keep you from major premium changes after a car crash. This is especially true if you’re sharing a car with someone, or a person is using your car on a regular basis.

What Drivers Should I Add to My Insurance Policy?

Anyone who drives your car regularly should be added as a driver to your insurance policy. Most insurance companies require spouses to be included as a driver on their insurance policy, but you can also include:

• Partners
• Significant others
• Roommates
• Newer drivers
• Dependents with their learner’s permits

The bottom line is, if the individual is driving your vehicle frequently, they need to be added as a driver to your insurance policy. This will provide an extra layer of protection for you in case anything should happen while they are behind the wheel of your vehicle.

What to Do if a Friend Crashes Your Car

Accidents involving someone else driving your car can be stressful and confusing, but understanding your insurance coverage and the legal avenues that protect you can help you avoid unwanted complications. When your vehicle is involved in a collision you didn’t cause, untangling the web of fault, insurance policies, and New Mexico injury laws can seem impossible. This is especially true if you’re hurt as a passenger while someone else is driving your car.

The last thing an injured victim should concern themselves with is negotiating with the insurance company. The New Mexico car accident injury lawyers at Ron Bell have dealt with complicated scenarios, such as those involving borrowed vehicles, for over 40 years. We know how to handle the insurance companies, and we’ll fight to obtain the compensation you deserve for your injuries.

If you’ve been hurt, call us today at 898-BELL. The consultation is always free, and you never pay us anything unless we’re able to obtain compensation for you.