If someone else crashes your car, you are probably asking the question, “What happens if someone else is driving my car and gets in an accident?” because you want to know if your New York car insurance covers them. Yes, it does under most circumstances.
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NY Car Insurance Follows the Car
In New York, your car insurance coverage includes coverage for other drivers of your vehicle—following the car rather than the driver. This applies to collision, uninsured motorist protection, comprehensive, personal injury protection (PIP), and property damage liability insurance.
An experienced car accident lawyer from our law firm, Rosenberg & Gluck, L.L.P., will be able to answer this and other questions for your specific case.
What If Another Person Borrowed the Car that Struck Me?
In New York, if someone causes a collision while driving another person’s car, there are several important things to know:
The Car’s Property Damage Liability will Pay for Your Losses
If your crash was caused by someone in a borrowed car, the vehicle’s property damage liability insurance should cover the damage to your vehicle. Additionally, the liability policy for the car should cover your other losses, including for bodily injury.
New York Operates on a “No-Fault” Insurance System
As a driver in New York, you are required by law to carry not only property damage liability coverage but also personal injury protection (PIP) insurance. In a no-fault insurance system, injured parties typically file claims with the insurer who covered the vehicle they were in at the time.
This means you will file a no-fault application with your own coverage, or your vehicle’s coverage and not typically with the vehicle that caused the accident. However, if you were a pedestrian or bicyclist, you would file a no-fault application with the vehicle that struck you. If you were in a borrowed car at the time of the crash, your PIP or No-Fault coverage would come from the car you were in.
Can PIP Insurance Cover Other Drivers?
Yes, PIP or No-Fault coverage will pay up to $50,000 per person for medical expenses, lost wages, and more to the driver and any passengers who were injured as well as to any injured pedestrians, regardless of fault.
While you have PIP coverage through the vehicle you’re in when an accident occurs, you can also access coverage from your own car insurance policy if it offers more extensive benefits than the vehicle involved in the collision. This applies even if you’re driving a car that isn’t yours. If you’re a named insured on another car owner’s insurance policy, you may also access coverage from that policy, including umbrella or excess coverage.
When Doesn’t Your New York Car Insurance Cover Other Drivers?
There are situations where a vehicle’s own insurance may not cover the accident or resulting damages. Examples of situations when the vehicle’s insurance won’t provide coverage include:
The Driver Was Not Given Permissive Use Of the Vehicle
According to New York’s Department of Financial Services §60-1.1(c) of Department Regulation 35-A, an auto liability insurance policy must cover:
- The policy holder (as the insured party)
- The policy holder’s spouse or child (if they live in the same household)
- Anyone else permitted to drive the vehicle (with some exceptions)
If someone drove the car without permission, insurance won’t cover collision damages. For example, a theft does not qualify as permissive use.
Your Auto Insurance Policy Does Not Cover Permissive Use
In some cases, an insurance company may not cover permissive use at all in the car insurance policy. Others may cover damages from permissive use but offer only “step-down” policies with limited coverage.
Some provide coverage for permissive use claims but will increase your deductible when you file a claim. Coverage for permissive use generally won’t extend to rental cars.
Review your auto policy to find out what you are covered for and your policy limits before lending your vehicle to a friend or family member.
You Explicitly Excluded the Driver from Your Policy
Some states allow you to exclude specific individuals from your auto insurance policy, particularly those with poor driving records or a history of drunk driving. If motorists in these states name someone as excluded, their insurance will not cover claims involving the excluded drivers.
However, in New York, you cannot buy an auto insurance policy if you try to exclude a member of your household who is of driving age.
Does My Car Insurance Cover Me in Another Car?
In New York, your car insurance may provide coverage when driving someone else’s vehicle, and their insurance will also protect you in case of an accident. If you cause an accident and exceed your friend’s coverage limits, your own policy will apply.
Does My Car Insurance Cover Me in a Rental Car?
Your existing policy may also protect you when you drive a rental vehicle.
Before buying optional insurance from a rental car company, review your existing policy to see if you’re already covered. Knowing your coverage can help you find assistance quickly in case of an accident.
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If You Were Injured by Someone Using Another Person’s Vehicle, Call Us
If you were injured by someone else’s negligence, contact our Long Island car accident lawyers at Rosenberg & Gluck, L.L.P. We can pursue a claim on your behalf against the at-fault driver.
Car accident cases can be complex. Insurance companies may resist paying what the policy states, leading to headaches for drivers and policyholders. When this happens, we can help. We understand that your insurance provider can complicate the process of obtaining the compensation you need. They may delay or deny your claim, especially if permissive use is an issue.
Call for a Free Consultation
Call us today for a free, no-obligation consultation. We can help you explore your legal options so you can get the money you deserve even if you weren’t driving your own car when you were injured.
