Car insurance: Driving a car that isn't yours

Car insurance covers the insured vehicle and its drivers

If you borrow your neighbour's car and get into an accident, the compensation paid by the insurance company will depend on the insurance coverage of the vehicle's owner . The main principle to remember is that car insurance covers the insured vehicle and permitted drivers.

Responsibility for an accident determines what happens next

If you are not at fault in an accident, your neighbour (the vehicle owner ) will be compensated for the damage to their vehicle, even if they have only minimal coverage, i.e. third-party liability (so even if they only have one-way coverage).

Conversely, if you are found liable, the owner of the vehicle will be compensated only if they have two-way coverage. If they don’t, your own insurance may have to cover the damage, provided your car insurance policy includes the Q.E.F. 27 endorsement, which covers leased or borrowed vehicles. 

Adding an occasional driver: Definitely!

If you only borrow a friend's car two or three times a year, it’s simple: you generally don't need additional insurance to cover your trips. The vehicle owner doesn't even need to notify their insurance company, but they must make sure that the driver has a valid driver's licence and complies with the conditions of the policy.

However, if you borrow another person’s car a few times a month, and this happens regularly, it's better to be added to the insurance policy as an occasional driver. The same applies if your teen living at home is allowed to drive your vehicle. Notify your insurance company and add your teenager as an occasional driver.

Renting a car outside Quebec

If you rent a vehicle in Canada or the U.S., make sure you have the Q.E.F. 27 endorsement. This rider covers any damage you may cause to a vehicle you don't own, such as a rented or borrowed vehicle. This coverage is also included in the Automax package.

If you're renting a vehicle outside Canada or the U.S., we recommend purchasing comprehensive coverage from the car rental company. Some credit cards and travel insurance policies will offer this coverage. If you have questions, don't hesitate to contact us to ensure that your car insurance coverage is appropriate for your destination.

Car insurance: Before you borrow... talk about it!

If you borrow a vehicle from someone else, you're covered by the owner’s insurance. Involved an accident? The accident will be recorded in the claims file of both the driver and the vehicle owner.

Before taking the keys of a friend's or family member's car, find out which car insurance policy covers the vehicle. At the very least, the vehicle should have third-party liability coverage.

Discuss the terms and conditions that would apply in an accident. Who pays the deductible? Does the person borrowing the vehicle have the Q.E.F. 27 endorsement? To avoid misunderstandings, make sure you find out first. After all, a car can be repaired, but a broken friendship... maybe not!