Simply Explaining Insurance #108- Permissive Use

Does your auto policy cover other drivers who aren’t listed on your policy? This is a common question in the insurance world. The short answer is, “usually”. Almost all auto insurance policies include a clause that will cover drivers that you have permitted to drive your car. This is called permissive use.

Where you might run into issues, is if someone is using your car regularly and isn’t listed on the policy. I would define regularly as more than once a month. Insurance companies need to know who is driving the cars regularly in order to determine the proper risk to charge for. Many companies even have you sign a form stating that you will be forthcoming on who is driving regularly.

If someone is driving your car regularly and isn’t listed on the policy and this person is in an at-fault accident, the insurance company has the right to deny coverage for that claim.

There may not be coverage if someone is using your car WITHOUT your permission and gets into an at-fault accident. Then the driver’s insurance works as a secondary policy and would come into play.