If you often rent or borrow cars, you may need car insurance coverage even if you don’t own a car. This type of insurance is called non-owner car insurance, which provides you with some level of protection if you get into an accident.
Non-owner car insurance is designed for licensed drivers who don’t own a car. In large cities like New York City or Chicago, people may depend on public transportation to get around on a day-to-day basis, but rent a car if they need to travel outside the city.
Let’s explore the coverage you get with non-owner auto insurance and how much you may pay for it.
What is non-owner car insurance?
A non-owner car insurance policy is a form of liability insurance for licensed drivers who don’t own a car. This coverage is also known as non-drivers insurance.
Non-owner car insurance provides liability coverage for property damages or injuries you may cause to the other driver in an accident. It can also help protect you from the financial liability of an accident.
In addition to bodily injury and property damage liability coverage, non-owner auto insurance policies can provide liability protection against underinsured or uninsured motorists, medical payments, and more.
How much is non-owner car insurance?
A non-owner car insurance policy is often cheaper than a full-coverage car insurance policy. This is because non-owner car insurance doesn’t include collision or comprehensive coverage that would pay for damages to a vehicle you own. Since you don’t own a car, you don’t need the additional collision and comprehensive coverage.
The average cost of non-owner car insurance is $474 per year, but the actual price you pay depends on the state you live in and your insurance company. There are several other factors that