When Borrowing Someone Else’s Car: Issues with Permissive User Coverage
- Westridge Law
- Apr 15
- 4 min read
Need to drive a friend’s car for a few days? Or maybe a family member’s vehicle is more convenient for a longer trip? In California, borrowing someone else’s car can get complicated if an accident happens. Permissive user coverage is not always straightforward, especially if you share the same address. Below, we break down the key points to keep in mind.
1. Same Address Cases Often Lead to No Insurance Coverage—Understanding the Risks
Residents of the Same Household
Auto insurers generally require everyone in the same household who might drive the car to be listed on the policy.
If you’re living with a roommate or family member at the same address, and they’re not listed, an accident could mean no coverage under the “permissive user” rule.
Policy ‘Step-Downs’ or Exclusions
Some policies contain “step-down” clauses that reduce coverage to California’s new state minimums (30/60/15)—$30,000 for bodily injury per person, $60,000 per accident, and $15,000 for property damage—when the vehicle is driven by a permissive user (someone not listed on the policy but allowed to drive the vehicle). This can leave major gaps if a serious accident occurs.
Others outright exclude coverage for any household member not explicitly named on the policy.
Preventative Measures
If you share an address, add each potential driver to your policy or get clear written approval from your insurer.
Be wary of low-cost policies with strong exclusion rules for co-residents.
2. What to Check Before Driving Someone Else’s Vehicle to Ensure You’re Covered
Review the Owner’s Insurance Details
Car insurance usually follows the vehicle, so the owner’s policy should provide primary coverage if you have permission.
Confirm there’s no specific exclusion for you as a driver or a coverage step-down that might leave you unprotected.
If the owner never consented (or you’re an excluded driver), you’ll likely face zero coverage in an accident.
Make Sure You’re a Permissive Driver
“Permissive user” coverage typically applies if you have the owner’s explicit permission.
If the owner never consented (or you’re an excluded driver), you’ll likely face zero coverage in an accident.
Double-Check Your Own Insurance
If you have a personal auto policy, it may offer secondary coverage for borrowed-car accidents.
Confirm whether it includes uninsured/underinsured motorist (UM/UIM) coverage and how it applies when driving a vehicle you don’t own.
Same Address Considerations
If you live with the car owner (family, roommate), some insurers expect them to add you as a named driver rather than rely on permissive use.
Overlooking this detail can result in a denied claim if a collision occurs.
3. Additional Key Points
Negligent Entrustment
Owners can be held liable if they knowingly allow an unfit driver (unlicensed, intoxicated, or high-risk) to use their car.
This concept can amplify the owner’s financial exposure in a lawsuit.
Excluded Drivers
If you’re specifically named as an “excluded driver” on the policy, coverage won’t apply at all.
Owners often exclude certain individuals to reduce premiums—make sure your name isn’t on that list.
Comparative Negligence
California operates under comparative negligence, so if you’re partially at fault in an accident, any insurance payout could be reduced proportionally.
MedPay: Medical Payments Coverage
MedPay, or medical payments coverage, is important because it provides financial protection for medical expenses incurred due to car accidents, regardless of fault. It covers a range of medical bills, including doctor visits, hospital stays, and even funeral expenses.
MedPay can be particularly useful for individuals with limited or no health insurance, as it can help cover out-of-pocket costs like deductibles and co-pays.
How Westridge Law Group Can Help
Westridge Law Group specializes in California auto accident cases, including those involving permissive user coverage disputes. We offer:
Insurance Policy Analysis: We’ll examine policy wording for step-down clauses or exclusions.
Expert Negotiations: Whether you’re the owner or the borrower, we work to maximize coverage and minimize liability.
Household/Co-Residency Clarification: We clarify same-address issues to ensure you’re not left unprotected.
Multilingual Services: We provide expert legal representation with no language barriers. Our multilingual team speaks English, Spanish, Korean, and Russian, ensuring clear communication and fully personalized service for clients from diverse backgrounds.
Free Consultation: Schedule a Free Consultation to discuss the specifics of your accident and discover how we can maximize your compensation.
Conclusion: Borrowing a Car? Know Your Coverage
Before you start borrowing a car, be aware that:
Same Address Cases Often Lead to No Insurance Coverage — If you and the owner live together, check policy requirements to avoid potential denial of claims.
What to Check Before Driving Someone Else’s Vehicle to Ensure You’re Covered — Review both the owner’s insurance and your own coverage details to ensure you have appropriate protection
An accident in a borrowed car can bring surprising financial and legal burdens. Protect yourself by verifying permissive user status, looking for any exclusions, and consulting a professional. Westridge Law Group stands by to assist you with these complexities and safeguard your rights in any accident scenario.
📌 Legal Disclaimer
Updated on April 15th, 2025. This document reflects the most current information as of mentioned date, and is provided for general informational purposes. For personalized advice that accounts for your unique circumstances, consult the experienced attorneys at Westridge Law Group. We are ready to assist you with legal guidance tailored to your needs.
