Why You Need Car Insurance Even If You Don’t Own A Car
Even if drivers are not considered high-risk or do not own a car, it is important to have some form of insurance. A non-owners policy helps avoid higher premiums in the future. Insurance companies will see gaps in insurance coverage and charge higher premiums.
People that benefit from these policies are people who frequently borrow and rent cars as the insurance coverage rental companies offer is often expensive.
Non-owners policies cover body and property liability damages. Body injury liability insurance covers medical costs when you are found at fault for a collision and a person is injured. Property damage liability covers the repair or complete replacement of damaged property but not your car.
Because the coverage is more limited, non-owners policies are more affordable than traditional car insurance. A non-owners policy does not include comprehensive or collision coverage. It also does not have rental reimbursement and only a few companies offer medical coverage.