Being a great host in your home means offering all the amenities that your houseguests need to feel comfortable. Many welcoming homeowners go the extra mile to make guests feel welcome, providing house slippers, a basket of goodies, chocolates, and similar treats. One of the most common tokens of generosity is allowing houseguests to use one of the family’s extra vehicles to get around town during their stay. However, your insurance representative at Great Lakes State Agency serving Okemos, MI, wants you to be aware of some important information before you hand over the keys.
When Your Insurance Covers a Houseguest
Most auto insurance policies include permissive use coverage, which means that if you permit someone to drive your car, they’re typically covered under your policy. This usually applies to short-term use, such as a visiting friend or family member borrowing your car for errands.
When Your Insurance May Not Apply
Your insurance may not cover a houseguest driving your vehicle. If the guest is a frequent driver during their visit, your insurer might require them to be listed on your policy. Coverage could be denied if your guest has a poor driving record or is an excluded driver on your policy.
How Claims Are Handled
In the event of an accident, your insurance may cover the damages first before the guest’s insurance applies. However, the driver’s insurance may provide secondary coverage if the damages exceed your limits.
Suppose you expect someone to drive your vehicle regularly. In that case, it’s best to check with your insurance representative at Great Lakes State Agency serving Okemos, MI, to ensure they’re covered before handing over the keys. Contact us to learn more.
