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Insuring a car you don’t own? That doesn’t make any sense. Well, it does in certain circumstances. If you don’t own a car but plan to get behind the wheel of someone else’s car often or rent cars on a regular basis, there is such a thing as non-owner car insurance. It offers liability coverage when you don’t have a car, but drive one that isn’t yours. Pro TipIf you frequently borrow a car from a close relative or someone in your home, don’t bother with non-owner car insurance. It’s usually better to be added to their policy as a driver. “If you get into an accident and someone wants to sue you for that, you need that liability coverage to protect yourself financially,” says Laura Adams, an insurance expert and host of the “Money Girl” podcast. Here’s what you need to know about getting a non-owner car insurance policy. What Does Non-Owner Car Insurance Cover?The main purpose of non-owner car insurance is to protect you if you’re driving a car you don’t own and get into an accident. However, non-owner car insurance coverage will only protect you against certain events, such any injuries or property damage you cause to others in a car accident. You can add extra coverage to your non-owner car policy like medical payments and personal injury protection, uninsured or underinsured driver insurance, and rental car liability coverage. (Some travel rewards credit cards provide the latter.) Some states require extra levels of coverage with non-owner car insurance, while others do not. But it doesn’t cover any damage to the vehicle, because you don’t own it. “It’s not yours. You’re either driving someone else’s car or a rented vehicle,” says Adams. Who Offers Non-Owner Car Insurance?Most major insurance companies, like GEICO, State Farm, and Nationwide, offer non-owner car insurance policies across the nation, but don’t advertise it. You’ll have to call insurance companies and/or independent insurance agencies over the phone to get quotes. Some companies can be picky about who they offer non-owner car insurance to; for example, Progressive only offers it to existing customers. How Much Does a Non-Owner Policy Cost?Just like regular auto insurance, the cost of non-owner car insurance varies based on several different factors. With non-owner car insurance, the insurance company isn’t taking a vehicle into account to calculate your rate. Instead, they’ll analyze personal demographics, like your marital status, credit score, age, location and driving record, and estimate how likely you are to cause an accident. Generally, non-owner auto insurance costs less than what you’d pay for the same level of liability coverage on a car you own. Americans pay an average of $611.12 a year for liability insurance, according to the National Association of Insurance Commissioners. “It definitely is cheaper than a standard auto insurance rate,” says Adams. That means non-owner car insurance could cost a few hundred dollars, somewhere between $200 and $500, per year. Also, this type of policy doesn’t come with a deductible. It’s possible — and sometimes necessary — to purchase an auto insurance policy without owning a car. In this article, we at the Guides Auto Team will take an in-depth look at non-owners car insurance, including what is covered, how much these policies typically cost and recommendations for the best car insurance companies that sell to non-owners.Why Trust Our Team The Guides Auto Team is committed to providing reliable information to help you make the best possible decision regarding insurance for your vehicle. Our researchers, writers and editors are dedicated to investigating providers and analyzing customer feedback and insights so you can choose with confidence.  What Is Non-owner Car Insurance?Non-owner car insurance provides coverage for drivers who don’t own a car but drive regularly using borrowed cars, rental cars and car sharing services. You qualify for non-owners insurance if you have a valid driver’s license and do not own a vehicle. Can I Get Insurance Without a Car?Yes, you can purchase auto insurance coverage if you don’t own a car, but need to drive another vehicle. In these instances, a non-owner car insurance policy can provide liability coverage for damages or injuries in accidents where you are the at-fault driver. What Does Non-owner Car Insurance Cover?Non-owner car insurance is similar to liability car insurance. This means that it pays the cost of damages after an accident that you cause. Liability coverage does not pay for damages to your vehicle or any injuries that you or your passengers suffer. However, it will cover your court costs if you are sued. Liability insurance types:
How Does Non-owner Car Insurance Work?Non-owner auto insurance coverage is considered secondary coverage. If an accident is covered by multiple insurance policies, the secondary policy only pays what isn’t covered by the primary policy. For example, if you borrow a friend’s car and are involved in an accident, your friend’s auto insurance policy will pay first, and your non-owner policy will cover any remaining costs or damages beyond your friend’s liability limits. Additionally, non-owner car insurance policies do not typically include a deductible. There are coverage limits that are determined when you purchase your policy. Non-owner Car Insurance Policy OptionsSome non-owner car insurance policies may offer add-ons such as underinsured or uninsured motorist coverage and personal injury protection (PIP). These policies cover the following:
Secondary CoverageNon-owner auto insurance coverage is considered secondary coverage. If an accident is covered by multiple insurance policies, the secondary policy only pays what isn’t covered by the primary policy. For example, if you borrow a friend’s car and are involved in an accident, your friend’s auto insurance policy will pay first, and your non-owner policy will cover any remaining costs or damages beyond your friend’s liability limits. Do You Need Insurance if You Don’t Have a Car?Non-owner car insurance policies aren’t for every driver. Outlined below are several situations in which you should and should not purchase non-owner car insurance. Getting Insurance Without a CarYou Should Get Non-Owner Car Insurance If… Why It’s Worth It You frequently rent cars When you rent a vehicle, you may consider purchasing rental car insurance from your rental company. If you have your own non-owners car insurance policy, you may be able to avoid this expense. If you rent often, it may be cheaper to have your own policy. You use a car-sharing service Car-sharing services like Zipcar do provide liability coverage, but the liability limits are low. They may also include a large deductible that you would be required to pay in the event of an accident (sometimes in the thousands). If you regularly use such a service, it’s worthwhile to have your own coverage. You use a business vehicle for personal errands You may be personally liable for damages if you crash a work vehicle while using it for non-work purposes. Having non-owner insurance gives you liability protection. You want to maintain continuous coverage Failing to maintain continuous car insurance coverage can result in higher rates when you decide to buy car insurance again. If you’re between vehicles, a non-owner policy is a cheap way to maintain continuous coverage. You need proof of insurance but don’t own a car If you have your license suspended for a DUI or failure to maintain proper insurance, you may be considered a high-risk driver. In that case, you may have to file an SR-22 insurance financial responsibility form (or an FR-44 in Florida and Virginia) before your license will be reinstated. In order to get an SR-22, you will need proof of insurance, and a non-owner policy fulfills that requirement. You may want to skip the coverage if you find any of the following applies to you:
When You Should Not Get Non-owner Car InsuranceYou frequently borrow your friend’s car If you frequently borrow the same person’s vehicle, you should have yourself listed on their auto insurance policy rather than purchase your own non-owner car insurance. You live in a household where a car is regularly parked Many insurers will not sell you a non-owner policy if you have regular access to a particular vehicle that belongs to someone in your household. Instead, the insurer will require you to be listed on that vehicle owner’s policy. You drive a company car, but only for work purposes If you only use your work car for work purposes, you don’t need additional non-owner coverage. You own a car If you own a vehicle, you should purchase a policy for that vehicle rather than non-owner car insurance. How Much Is Non-owner Car Insurance?Non-owner car insurance is typically cheaper than a standard liability policy. According to our market research, costs range from $200 to $600 per year. Typically, a non-owner car insurance policy does not include a deductible. Non-owner Car Insurance QuoteIf you are considering purchasing a non-owner car insurance policy, we recommend getting quotes from more than one provider. Many of the top providers and a free quote tool are included below. Like insurance quotes for your own car, non-owner insurance quotes vary depending on provider and a number of other factors, including:
Non-owners Car Insurance: ConclusionPurchasing a non-owner auto insurance policy can be a good idea for drivers who do not own a car. It provides you with liability coverage and the chance to buy add-on coverage like personal injury protection or underinsured/uninsured motorist coverage. Several car insurance companies offer these premiums like the ones included below. Best Non-owner Car InsuranceIf you need to purchase a non-owner policy, you’ll have a lot of options to choose from. Most of the country’s biggest auto insurance providers offer non-owner car insurance, including:
You can request free car insurance quotes from several of these providers using the tool below. Be sure to consider two insurers that topped our list of the best car insurance companies: Geico and USAA. Compare Auto Insurance Policies Answer a few simple questions and we'll take care of the rest. Compare Rates Geico: 9.2 out of 10.0Geico is one of the best-known insurers in the U.S. That’s not only because of its memorable advertising, but also because it offers the cheapest insurance coverage for many drivers. Part of the reason for this is Geico’s many car insurance discounts, such as:
Keep reading: Geico insurance review USAA: 9.5 out of 10.0We at the Guides Auto Team rate USAA just as highly as Geico, and for many of the same reasons. The only downside to USAA is that it is not available for all drivers. In order to be eligible for a policy with USAA, you must be a military member or have a family member with a USAA account. But for those who are eligible USAA offers cheap car insurance policies, along with many discounts, including:
Keep reading: USAA insurance review You can also read our head-to-head comparison of these insurers in our USAA vs. Geico review. Non-owners Insurance: FAQWhat is non-owner car insurance called?Non-owner car insurance is the most common name for this type of insurance, but it is sometimes called non-driver’s insurance. Can you insure a car you don't own?While you don’t need to own a car outright to insure it, you cannot buy an insurance policy for a car that you don’t have a financial stake in. However, non-owner car insurance will let you insure rental cars or car-sharing vehicles while you are using them. Will Geico insure a car not in my name?Geico will insure a car that’s not in your name. However, you need to be able to prove that you have some financial stake in the vehicle. Other Types Of Insurance To Consider
Our MethodologyBecause consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best car insurance companies. We collected data on dozens of auto insurance providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the insurers that scored the most points topping the list. Here are the factors our ratings take into account:
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Average cost of non owner car insurance
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