Yes, it’s possible, wise, and sometimes necessary to buy “auto” insurance even if you don’t own a vehicle. It’s called non-owner auto insurance, and it covers you when you occasionally drive a borrowed car.
A common reason people buy non-owner insurance is to reinstate their suspended license. You’ll need to file an SR22 or FR44 certificate with the Virginia DMV to reinstate your driving privileges. When you don’t own a car, your SR22 or FR44 certificate will be an endorsement to a non-owner insurance policy. What kind of violations result in a license suspension? Infractions like DUI or DWI violations, unpaid tickets, driving without insurance, driving without a valid license, or multiple accidents, among others.
Insurers generally charge higher premiums if there’s a recent lapse in your coverage, regardless of the reason. So this is another motivation to get non-owner insurance. Say someone anticipates not owning a vehicle for a time. A non-owner insurance policy helps them maintain continuous coverage and avoid paying higher auto insurance premiums later.
Non-owner insurance rates are lower, and premiums are more affordable than auto insurance, which covers a vehicle. Are you interested in learning more? Get the basics about non-owner auto insurance here.
Non-Owner Auto Insurance: What is it?
Non-owner insurance is secondary coverage that covers you when you operate a borrowed vehicle. Secondary liability coverage helps pay for damages and injuries if you cause an accident while driving someone else’s car.
Any damage to the borrowed vehicle or injury to yourself and the passengers with you are not covered. Since no car is attached to the policy, optional collision, rental reimbursement, towing reimbursement, and other comprehensive coverage are omitted.
When Should You Invest in Non-Owner Auto Insurance?
If you occasionally drive borrowed vehicles, need SR22 or FR44 insurance, or want to keep continuous coverage – non-owner auto insurance is a good option.
You’ll need non-owner FR44 certificates or SR22 insurance if you’re a high-risk driver and need proof of insurance to reinstate your driving privileges. An SR22 certificate is for motor vehicle offenses unrelated to alcohol or drugs; an FR44 certificate is for DUI convictions.
SR22 and FR44 are financial responsibility forms your auto insurance provider files with the state. Filing them with the DMV guarantees you will maintain the state’s minimum liability insurance coverage for a specified time. You can stop carrying high-risk insurance when the mandated time is over.
When you have high-risk insurance, you must ensure that you miss no premium payments, or the state may suspend your license again. The insurance carrier of the policy must notify the DMV if you cancel it or let your policy lapse for any reason.
Every state requires drivers to carry minimum auto liability insurance. Get help making the right decision about your high-risk auto insurance. Ask the experienced professionals at UltraCar Insurance for advice about standard and high-risk non-owner insurance coverage.
Our specialists are well-versed in state compliance laws for high-risk insurance and certificate filings for personal auto and non-owner insurance coverage. We also partner with the state specialists at Intoxalock to help you meet your ignition interlock device requirements cost-effectively.
This article was last updated on August 15th, 2022 by UltraCar Insurance