Never A Borrower Or A Lender Be

What can happen when you borrow a car? In some cases, you can borrow a car and not worry about whether the vehicle insurance lists you as an occasional driver. Sometimes you can lend your vehicle and not worry about this driver’s name be shown on your insurance policy.

The requirements for borrowing a car include that you have permission from the owner to use it. You cannot be borrowing this car on a regular basis, such as taking it each week to pick up groceries. If this is your situation, then you should be listed as an occasional driver. You must have a valid license to drive. It cannot be suspended, and you cannot contravene the limits of your particular license. If you do have an accident with a borrowed car, then it can affect the insurance record of the owner of the vehicle.

If you lend your vehicle, then it must be with your consent to its use by the "guest" driver. This driver must not be using it on a regular basis. If this person is using it on a daily basis to commute to university, then you need to list this driver on your policy. The driver has to be licensed, to drive the vehicle in your province. If there is an accident, it can affect your insurance record.

A rule of thumb is, that if you lend out your vehicle, you lend out your insurance. It is recommended that you consider very carefully before you borrow or lend out your vehicle. The primary insurer is the one insuring that vehicle - that is the company paying the claim.

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