Does my insurance cover anyone I lend my car to?

Not necessarily. It depends on what auto insurance policies you have purchased.

If you lend out your car to a friend, and the friend causes an auto accident:

  • Your liability insurance might not pay for damage to other drivers and pedestrians.
  • If you have collision or comprehensive insurance, your insurance policy might pay to fix your vehicle, even if your friend was driving.
    • But sometimes other drivers are only covered if they are on a special list of approved drivers. If your friend is not on that list, the insurance company might refuse to pay for damages to your vehicle.

Liability Insurance and Additional Drivers in Texas

Most auto insurance policies in Texas include liability insurance. If you cause an accident while driving, your auto liability insurance pays for property damage and injuries to other people (the other driver, pedestrians, etc.)

But many auto insurance policies in Texas only cover pay for accidents that the insured driver caused, not someone who borrowed the vehicle from the insured driver.

Many auto insurance companies in Texas will offer coverage for additional insured drivers.

If someone else is going to be using your car regularly, you may want to add that person as an additional insured driver.

Collision Insurance and Comprehensive Coverage for Texas Auto Accidents

What are Collision Insurance and Comprehensive Coverage?

Collision auto insurance pays for damages to your vehicle, even if you were at fault.

Comprehensive coverage pays for damages to your vehicle that are unrelated to driving collisions. This includes incidents like fire or theft.

Do Collision Insurance and Comprehensive Coverage Apply to Drivers Who Borrow My Vehicle?

It depends on the specifics of your auto insurance policy.

In many cases, collision coverage will pay to repair or replace your vehicle, even if someone else was driving.

Comprehensive coverage may also pay for damage to your vehicle, even if it was in someone else’s custody. For example, if you lent your car to someone, and it was broken into while they were parked, comprehensive coverage might cover the repair.

However, if the person driving your vehicle was not listed as a covered driver, the insurance company might refuse to pay. You should check your insurance policy.

You also may want to speak to a Texas personal injury attorney.

If a driver that borrowed your vehicle has an accident, you might be negatively affected. If the driver had an unsafe or criminal driving record, you could even face civil or criminal penalties.

You should always exercise caution when lending your vehicle to another driver.

You can find out more about Texas auto insurance laws and which rules might apply in your case here.