There is a special type of car insurance you should consider purchasing even if you do not own a car. This type of coverage is called "non-owner" coverage.
Why Do You Need It?
Non-owner is a type of liability coverage that will pay for injuries you or injuries your passengers have obtained as well as property damage that was incurred while you were driving a rented car or borrowing a friend's car.
Here are four reasons you might need non-owner car insurance:
- If you have a DUI or DWI, North Carolina requires you to file an SR-22 form to get a driver's license or to have a driver's license restrained. These forms must be provided to prove you have insurance. If you do not have a car, a non-owner policy paper work will have to be provided.
- If you rent cars frequently, this policy will be cheaper than buying rental insurance from the car rental service.
- If you use a car sharing service such as Zipcar, you might want to consider having extra protection to protect yourself just in case someone decides to sue you after a collision.
- If you drive a friend's car and have a collision, it is typically still the insurance company's responsibility to pay for damages obtained. However, if the cost of repair exceeds your friend's limits, a non-owner car insurance policy would be able to cover the remainder of the damages up to the limits of your policy.