Did you know that if you lend your car to someone that you’re liable for any claims?
Yes, it’s true. Insurance policies follow the car, not the driver. In Ontario, if you lend your car to someone and the driver is involved in an at-fault car accident, your insurance company will pay for the collision damage to your vehicle. It may end up costing you in the form of a deductible and/or an increase in your car insurance rate. When lending your car, make sure you’re fully aware of the potential consequences.
To learn more about lending your car, click here.