Do You Need Non Owner Car Insurance In Houston Texas
Reader’s Question:
I always borrow my neighbors’ car here in Houston. Now, my neighbor told me that it is alright as long as I get myself an non owners auto insurance policy. Is my neighbor joking about this or is it true that I can get an auto insurance even though I don’t own the car. If there is an insurance policy like that and what are the advantages?
Harry
Houston TX
Yes there is an insurance policy like that. And it will make your neighbor more comfortable lending you his car if you own this type of insurance. It is called non-owner auto insurance. This type of auto insurance policy will cover damage expense done on the vehicle that you don’t own if you are the one behind the wheel and you accidentally collide with something.:)
But let me make this clear to you. Although if you accidentally damage the vehicle of your neighbor, your neighbors auto insurance policy will take effect. Your non-auto insurance policy will only take its role if your neighbors’ auto insurance policy cannot cover the damage that is done on the vehicle. For example, if the estimated cost of the damage is $20,000 and your neighbor or the owner of the car has a liability limit of $30,000, your non owners’ policy will not be touched. But if your neighbors’ liability limit is only $10,000 then your policy will take care of the remaining deficit.
Another advantage is if you rent a vehicle. Most rental companies also sell car insurance policies that cover throughout the renting period. This may not cost much, but if you are renting too often, it will surely save you money if you have a non-owner auto insurance policy already in place. Notice if you rent a vehicle too often and always pay additional cost for car insurance, try to sum up the additional auto insurance cost and try to compare if you can save if you had a non-owner auto insurance policy.
As with any auto insurance policy, you should ask for discounts and raise your deductible amount to the highest level possible in order to save money on your premiums. Also, your credit history and credit score will be looked at to determine your rate.
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