You generally can't insure a vehicle that you don't own. To fully understand why, it may be useful to review how insurance works. If your vehicle needs an inspection, the auto insurance company may not insure it right away. Car insurance for people who don't own their cars is exactly what it sounds like, providing car insurance coverage to drivers who don't own their cars.
If you need to leave your car but need to keep it insured, there are options to reduce rates, such as low mileage discounts and parked car insurance. Since car insurance can pay for damage to your vehicle, as well as for damage that you cause to another driver's vehicle (depending on the type of coverage you have), you must have what is called an insurable interest in the vehicle. If you could insure the car, you could file a claim under your collision insurance and receive payment for the damages, even if your friend has the financial stake in the vehicle that paid for it. At the same time, the vehicle insurance of the original owner of a borrowed car will not be transferred to any other person who drives it, unless specifically mentioned in the car insurance policy or you have your own vehicle insurance policy for non-owners.
The best thing to do is to accurately inform your auto insurance agent about your situation and find a personalized solution. Just remember to keep the information up to date about what car you're renting or borrowing and from whom in your car insurance policy. In fact, there are different ways to get car insurance coverage for a vehicle without owing it. The regular use of a borrowed car, whose definition will vary depending on the company, and not informing the insurance company could result in a misrepresentation claim being denied, so it's important to be transparent about the situation.
All insurance products are governed by the terms of the applicable insurance policy, and all related decisions (such as coverage approval, premiums, fees and charges) and policy obligations are the sole responsibility of the insurance insurer. You can't sign up first in most areas of the country, but you can search for car insurance coverage before leaving the car dealership parking lot. If you have an auto insurance policy for another vehicle, your coverage limits will often be transferred to a rental car. If you're unhappy with your car insurance provider or are simply looking for a cheaper option, be sure to compare quotes from a variety of different providers.
In addition, we'll discuss an auto insurance guide to help you choose the best insurance policy in your area. Inspections are also necessary if you live in a state that requires a vehicle inspection before obtaining or keeping an auto insurance policy.