Does Insurance Follow the Car or the Driver in North Carolina?

Auto insurance follows the car in North Carolina. If a vehicle owner lends the car to someone who causes an accident, the owner’s car insurance covers the injured party’s compensation. However, this isn’t the case if someone takes the car without permission and causes a wreck.

What Happens If My Friend Borrows My Car Without My Permission and Gets in an Accident?

Generally, most car insurance policies in North Carolina follow the car, not the driver. When someone borrows your vehicle and causes an accident, as the vehicle owner, your liability policy should compensate the injured individuals for their financial losses.

Things change when someone takes your car without permission and gets into an accident. Taking an item without permission from the owner is not borrowing. It is theft. When an individual takes your car without your consent, the driver or their insurance company becomes responsible for compensating injured parties for their losses.

It is vital to carefully read the terms of your car insurance policy before you let anyone get behind the wheel of your vehicle.

What If My Friend Causes Damages Greater Than My Coverage Limits?

Some motor vehicle accidents can cause devastating damage or physical injuries that quickly outpace insurance policy limits. When this occurs, injured individuals may have several options to try to recover the money they need for their financial losses.

As the vehicle’s owner, your insurance is the primary policy for accident damage and medical expenses. However, if the driver also has car insurance, their insurance company may be on the hook to pay for the rest of the damage your policy can’t cover. If the person who borrows your car causes the accident, they may also face a personal injury lawsuit from others seeking compensation for their losses not covered by an insurer.

If My Friend Causes an Accident in My Car, Will I Need to Use My MedPay?

Typically, you do not need to use your supplemental MedPay coverage following an accident caused by a driver who borrowed your car. While liability, collision, and comprehensive coverage follow the car, MedPay coverage usually follows the driver. However, you need to review your specific insurance policy to determine the scope and limits of your coverage.

What Is Non-Owner Auto Insurance?

Individuals without a car can still protect themselves in many situations by carrying non-owner auto insurance. People who can drive and have a valid license but don’t own a vehicle may qualify for non-owner auto insurance. This policy provides liability coverage if the insured person gets into an auto accident while driving someone else’s vehicle.

Most non-owner policies include bodily injury and property damage liability coverage. These are the types of minimum insurance coverage required by North Carolina law. However, most policies do not allow individuals to carry comprehensive or collision coverage because those tend to be vehicle-specific policies.

What Happens If My Friend Doesn’t Carry Their Own Insurance?

The situation gets complicated if your friend does not have their own car insurance and is the at-fault driver. Your insurance may pay for the expenses and financial losses of the other individuals involved. But if their losses exceed your policy limits, they may try to find additional ways to recover the compensation they need, such as through a personal injury lawsuit.

Additionally, North Carolina law requires all drivers to have minimum insurance coverage. If someone borrows your car and gets in an accident without insurance, the state may hold you accountable as the vehicle owner. Consequences can include suspending your driver’s license.

Could Anyone Else Be Held Liable for the Collision?

When an accident occurs in North Carolina, you turn to the at-fault driver’s insurance to cover medical expenses and other losses. If a friend’s actions cause a collision, either their insurance or yours will be on the hook for compensating those involved. However, depending on the circumstances of the accident, other parties may be entirely or partially liable for causing the crash. Those who may bear responsibility for an accident can include:

• The other driver
• A car or parts manufacturer
• A government entity

You need an experienced North Carolina car accident lawyer after a borrowed vehicle accident. An attorney can investigate the cause of the crash and identify all potentially liable parties.

How Can a Car Accident Attorney Help Me?

Things can get murky when your car is involved in an accident but you aren’t the driver. You may be confused about how to file a car accident claim, who is responsible, and whether your insurance needs to pay for the damage. Don’t navigate this challenging time alone or rely on the advice of others with no experience in the insurance or legal industries. Hand your claim over to a skilled North Carolina car accident attorney.

How can an attorney help? At The Law Offices of John Drew Warlick, P.A., we can:

• Investigate the cause of the accident
• Identify all potentially liable parties
• Collect and preserve crucial evidence
• Manage communication between you and insurance companies
• Negotiate for compensation for the property damage and other expenses
• Prepare for litigation when necessary

Before you talk to anyone, discuss your unique situation with an experienced car accident attorney.

Contact a North Carolina Car Accident Lawyer

Are you concerned about what comes next when someone else gets into a wreck in your car? It can be challenging to untangle who pays for what when a friend borrows your car and gets into an accident. You may have a lot of complicated questions with complicated answers.

At The Law Offices of John Drew Warlick, P.A., our North Carolina car accident attorneys want to help you sort through the noise and get to the heart of the issue. We also want to help you understand your coverage limits and how to file a car accident claim with the correct insurer. Our team is committed to protecting your legal rights. We understand the stress and frustration involved when a friend borrows your car and causes an accident. You deserve dedicated legal representation to help you navigate the situation.

Contact our office today for a free consultation with one of our North Carolina car accident attorneys.

Visit Our North Carolina Car Accident Law Offices