What is a Non-Owner policy?
A non-owner insurance policy gives you coverage for physical and property damages for when you drive a car that is not yours (and would otherwise have a regular car insurance policy) . If this is not enough to cover an accident if you have one, your non-owner policy acts as a second coverage. It is important to remember that non-owner policies do not include coverage for repairs in case the car is damaged in the event of an accident, it only covers the piece of property or car with which it has crashed.
You need a non-owner insurance policy if you are worried that the coverage of the car you are driving will not be enough. Some of our insurance providers offer coverage for medical expenses as part of your non-owner’s car insurance policy. If you are interested in this coverage, mention this when you are quoting. Some providers offer liability coverage for rental vehicles, but not all.
When is a non-owner policy needed?
- Legally it is not mandatory to have a non-owner policy if you do not have a car, unless the DMV requires you to present a proof of insurance certificate to maintain your license if you have been convicted of a DUI / DWI or other violation or serious accident, an SR-22. In that case, if you do not have a car to insure, your best option is a non-owner policy.
- If you are temporarily without a personal car, a non-owner policy is a cheap way to ensure that an interruption in insurance coverage does not mean you end up paying a higher rate for regular insurance when you buy a car.
- When you rent a car, check what coverages are offered through your credit card or through the company that leases you the car. It may be cheaper to pay for car insurance for that one occasion instead of having an active non-owner policy, if you do not rent cars so often. Of course, if you rent cars instead of buying one, a non-owner car insurance policy that offers coverage for rental cars would be your best option.
How much does a Non-Owner Policy cost?
The price of these vary depending on the history of your driver’s license because the insurance companies study the size of the risk you represent and how likely it is to cause an accident when giving prices. But if you have an excellent driving record, roughly, your policy will cost 90% less than deductible car insurance, even with a not-so-good history, the price of your non-owner insurance policy. It will be approximately 20% less than a car insurance with deductibles. You are the factor that determines the price as well as your zip code.