There is often confusion surrounding the issue of whether you are insured when you borrow a car or lend out your car. Many wonder if they are covered if they are involved in an accident when driving someone else’s car, or if their insurance covers damages incurred by someone else using their car.
First of all, it’s important to make the distinction between an occasional driver and someone who borrows a car:
- An occasional driver is someone who regularly uses your car to drive to work, to school, etc. This person must be registered in your car owner’s insurance contract.
- A borrower is someone who does not normally use your car; this person does not need to be registered in your insurance contract.
In the event of an accident, it is always the car owner’s insurance contract that applies. You should therefore only lend your car to those you know well and have trust in.