Rental Protections: What Renter's Insurance Is All About

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Let Your Friend Borrow Your Car And They Were In An Accident? What Will Happen

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If you let your friend and they were in an accident that resulted in damage to your car, the steps you take will be different than if it was you driving. Below is more information about this so you can get your car repaired and back to normal again.

Your Friend's Insurance Company

If your friend has car insurance, their insurance company should pay for all damages to your car. If you have deductibles set, however, you will have to pay these out of pocket before your car will be repaired. Contact your insurance company as soon as you can. They will contact your friend's insurance company and get everything set up for you.

The other insurance company will ask you to have your car appraised to determine the amount of damage. They may suggest an appraiser, but you should also ask your insurance company if they recommend one. Your friend's insurance company may ask you to get more than one appraisal.

Once it is determined how much damage is done, the insurance company will pay you the required amount.

No Insurance

If your friend has no insurance at all, you need to contact your insurance company. Depending on your policy they may take over the cost. In many cases, however, your insurance company will not pay anything.

You will have to ask your friend to pay for the damages out of pocket. If your car was severely damaged this may be difficult for them to do. You have many options. One, you could sue your friend for the amount of money you need to repair your car, or simply make the repairs out of pocket.

Because of this, always make sure you ask anyone that asks to borrow your car if they have car insurance.

Property Damage Or Personal Injury

if your friend caused property damage, such as ran into a building resulting in damage, your insurance company will likely cover these costs. The same goes for personal injury. For example, if your friend was injured due to the car accident or any passengers in the car, your insurance company will likely pay these costs.

If the limits on your car insurance do not cover all costs associated with the accident, your friend's insurance company may then take over to cover the rest of the costs. This will depend on the type of policy your friend has.

Talk with your auto insurance company for much more information about this.