Non-owner auto insurance policy fulfills the minimum liability requirement of any state in case a person doesn’t own nor has access to any vehicle. After meeting an accident, this insurance of the vehicle owner would cover the damages of the victims, but the car owner will not be compensated for any personal damage.
The cost of non-owners insurance policy often varies, but this type of coverage is mostly less expensive than those policies, which cover vehicles. Insurers consider those, who don’t own any vehicles as less risky as those people don’t have regular access to vehicles. So, the factors that decide the cost of car insurance non owner are:
- The amount of the liability insurance coverage that the car owner wants
- The geographical location of the car owners
- The driving history of the car owners
- How often the car owner plans to drive a vehicle
Depending on the driving record of a car owner, sometimes high risk auto insurance becomes necessary. But in these situations, the car insurance with no down payment for non owners costs more than it would for somebody with clean record.
The non-owners vehicle insurance policies mainly cover liability. The liability insurance mainly covers property damage or injuries that one is liable for legally in case of any auto accident. But this doesn’t cover any borrowed or rented vehicle in case it’s stolen or gets damaged when someone uses it. But with the non-owners policy, it is possible for one to buy different types of liability limits. In case your state demands you to file an FR-44 or SR-22 financial responsibility form, then the state may dictate the liability coverage that the person should obtain.
This type of policy can also be used as a secondary coverage in case the person borrows the vehicle of someone else and then meets an auto accident. Here the insurance coverage of the vehicle owner will work as the primary insurance. In some cases, the insurers also offer non-owner vehicle insurance policies, which extend the coverage to rental cars. To know more information on cheapest non-owner car insurance, you can consider paying a visit to MonthToMonthCarsInsurance.Com.
