Letting a friend or family member borrow your car often seems like no big deal. If you’re throwing the keys to a responsible driver, you’ll rarely encounter any issues. However, if that person were to get in an accident while driving your vehicle, there are a few things you should keep in mind.
If you or someone you know are in an accident, call 911 and tell the dispatcher your location. Let them know immediately if anyone is injured and needs medical attention. Make sure to check with the other parties involved in the accident; someone could be hurt in another car.
What Happens After an Accident?
Police officers are often the first party to arrive on the scene. They will help determine the cause of the accident.
Standard Operating Procedure
Police officers will talk to all parties involved in the accident and may gather witness statements. Witnesses can provide valuable information about the collision. Police may also block the road or assist with traffic flow.
The police officer may also take pictures of the scene and damage caused to the vehicles. They might measure the skid marks or perform sobriety tests if intoxication is suspected. Based on this information, they will prepare a detailed report which will explain their assessment of how it all happened.
This police report will contain statements from the drivers of the vehicles and the witnesses. It will have details of the physical evidence. Along with that, it may also have details of their experience in dealing with accidents and whether or not they have any special training. The report is also likely to have the officer’s opinion on the cause of the accident.
Police Report’s Effect on Compensation
The police report is a very important document. If it says that the person driving your car is not at fault, the situation may be a little easier for you and the person who was driving your car.
Sometimes you might feel like the police report is not accurate or some details need to be altered. If that is the case, you may wish to seek legal counsel and speak with a lawyer about possible options in your specific circumstances.
Police Report’s Impact on Personal Injury Claims
The police report is not the only deciding factor in a court case, especially if you’re thinking about a personal injury case or even just about insurance.
If the report says that the driver of your car is not at fault, you have a huge advantage in terms of negotiating power. But if it does point fingers at you, the insurance company of the other vehicle’s driver has an advantage.
The other party or insurance company could file a lawsuit depending on the circumstances. Since the vast majority of states require everyone to carry liability insurance, your auto insurance should handle any civil claims or damages that arise from the incident.
If this happens, it is highly recommended that you get your insurance company and an experienced personal injury attorney into the picture. Make sure your attorney or insurance company has accurate information on the incident, including witness statements, police reports, and your perspective of the accident.
Some of these claims can be challenged by the attorney if required, so this is crucial information in determining whose fault it was. Skid-mark analysis is one factor that may be examined in court.
If the skid marks are 10 feet from the point of impact, it is safe to say that the driver did not break till that point. These marks, however, cannot determine the speed of the vehicle.
Giving a Statement
When the driver of your car tells them what happened, it is written down and added to the police report. The information you give the police can be used against you in court or during insurance claims if you are not careful with what you say and how you say it.
Make sure you give accurate information. Do not lie to the police, or lie under oath in court. It’s also important to read all documents carefully before you sign them. Ask a lawyer if you have any questions about the legal process or any documents you may encounter.
Some of these preliminary details about the accident itself cannot be altered at a later stage during court proceedings. That is why having an experienced lawyer on your side comes in handy.
Will Insurance Cover the Accident?
It is extremely important that you read your auto insurance policy so you know exactly what is and isn’t covered if someone else is driving your vehicle. Insurance will cover accidents differently depending on fault, if there was a collision with an animal, if the vehicle was stolen, or the vehicle was damaged from some other cause.
Typically, auto insurance is applied to the vehicle. This means that if the person driving your vehicle was legally allowed to drive and you gave them permission, your auto insurance policy should cover the accident (assuming that accident falls under one of the coverages you have paid for).
If this person regularly borrows your car, consider adding them to your auto insurance policy.
Some Possible Scenarios
Here are a few possible scenarios you and the driver may find yourselves in. Please note that these are general examples; each specific situation is different, and your situation will not look exactly like those outlined below.
If your buddy causes the accident but no one is injured, the insurance company might pay for the damage but you could still be responsible for the deductible. The idea behind these policies is that the person driving the car is doing so with your consent. But if your policy does not have collision coverage, you may have to pay for the damages from your pocket. If your buddy has coverage, the insurance company might try to make that as a substitute claim or get their company to pay for the damages. If your friend gets into an accident and someone else is injured, the other person’s personal injury protection (PIP) insurance may kick in. The same could happen to your friend if they are injured. If the injury is serious, your liability coverage may pay for any extra medical bills. If your friend is insured, your insurance company might try to get some money from their insurance company. If someone steals your car and wrecks it, your collision coverage might pay for the damages to your car. If someone is injured, that is probably not going to be something for you to worry about. If you have been in an accident and the owner of the car is not responsible, you must consult a lawyer about compensation for your injuries.
Negligent Entrustment
You can be deemed a negligible car owner if you give your vehicle to someone who should not be driving. If this person crashes and injures someone else, that could fall back on you. The police could impound your car or charge you with a crime, depending on the situation.
An example of this is to give your car to someone who is visibly drunk and ends up in an accident that not only damages your vehicle, but also causes injuries to someone else. The injured party may hold you and the drunk driver responsible.
Permissible Use
If the person who has your car does not have your permission, your insurance might not cover them or the people injured in the accident. The driver’s insurance will act as the primary coverage in these cases. But if they do have your permission, it’s your insurance because you let them drive your car. Your collision coverage will pay for the damages and your liability coverage will pay for the damage to the other party.
When It’s Someone on Your Policy
Sometimes, the person who is driving your car is a family member or someone already on your policy. In that case, they get the same coverage as you if you were driving the car. The only exception to this is if you have specifically excluded them from the policy.
When It Was an Excluded Driver
If the driver is specifically excluded from the coverage and they wreck your car, your company may not cover the damage. When we say excluded driver, we mean someone who is inexperienced or generally considered high risk that you have chosen to leave off of the auto insurance policy.
Conclusion
There are many factors to consider when you throw your keys to someone else. Do you trust them to make sound decisions? Are they a good driver? Does your auto insurance policy cover this situation? Make sure you do your research before someone else needs to drive your car, and you could save yourself a lot of headache down the road.