All the coverages in your auto policy apply when you are driving, but they also apply when other people are driving your vehicle.
The coverages are actually for the car, not the person.
* Note. If someone is going to be a regular user of your car, that person’s name needs to be added to the policy.
Your insurance company wants to know who’s going to be using the car. After all, you could be a great driver with no tickets or accidents, but your spouse, your teenage child, or your reckless cousin could be a lousy driver.
If you let these people drive your car without telling your insurer and these people keep getting in accidents, your insurance company isn’t going to be happy. In fact, they may cancel your policy.
* Tip. It’s not wise to risk losing your policy by failing to disclose who’s driving the insured vehicle. Keep in mind, however, that if you add drivers with lousy records or who haven’t had much driving experience, your premiums will go up.
Any parent of a driving teenager can tell you this; teenagers are notorious for getting tickets and having accidents. They are also very inexperienced drivers. As such, when your child gets his or her license, your insurance premiums will go up when he or she is added to the policy. (There are a few exceptions to this … In some cases, your premium will NOT go up when adding a young, inexperienced driver).
This is a complex issue, and you’re better off to contact your MIB broker and tell him/her what your particular situation is.
Eddie works exclusively with “tech companies” such as: software developers, game developers, IT consultants, data centres, web designers, and more. He helps tech businesses protect themselves against ‘The Monsters’.