Named non-owner policy
A named non-owner policy is coverage in your own name for times when you drive cars owned by other people. Damage you cause to others in a car you borrowed or rented is what this policy typically covers.
- $42 a monthAcross the US, the yearly average is $506.
- $18 a monthstate with the lowest price, South Dakota
- $95 a monthstate with the highest price, New Jersey
- You need one if no car is kept at your home and you often drive cars that belong to others, or your state requires proof of insurance before you drive again.
- You do not need one if you share the owner's home (get added to their policy) or only use a friend's car now and then.
Call 833-958-5598A licensed agent sets up the policy in your name on the phone.
What does a named non-owner policy cost?
The price is driven by your age, your driving record, and your state.
Named non-owner policy: how does it work?
Most people simply say non-owner car insurance, but insurance companies use this full term for it. The large insurer Travelers describes it as liability coverage for drivers who have no vehicle of their own. This liability coverage pays the people you injure or whose property you damage, and certain policies add extra coverage beyond that.
This is backup insurance. Insurers call it secondary coverage: once the owner's policy has paid all it can, yours pays. When you crash a borrowed car, the owner's insurance is the first to pay. If that falls short, your policy covers the leftover amount, but only as high as your policy’s limit (the maximum it will pay).
People you hurt and things you damage are covered. Fixing the car you were driving is not part of the coverage.
Named non-owner versus named driver
The owner's own policy is where a named driver gets added. If you live with the owner or drive their car a lot, that is the option to pick. A named non-owner policy fits when your home has no car at all, not yours and not one owned by someone you live with.
When a friend lets you borrow their car now and then, their insurance already covers you in most cases: the owner allowed you to drive (insurers call this permissive use). Chances are you do not need either one in that situation.
| Named driver | Named non-owner policy | |
|---|---|---|
| Who it is for | You share a home with the car’s owner or drive their car often | No car is kept at your home, either yours or one belonging to a household member |
| Whose policy | The owner's, with you listed on it | Your own, in your name |
| After a crash | The owner's policy pays | The owner’s insurance is first in line; your policy handles the remaining costs |
| Cost | Can raise or lower what the owner pays | In the US, the average runs about $42 a month ($506 a year) |
| Repairs to the car you drive | Only if the owner's policy covers them | Not covered |
Non-owner coverage for rental cars and car-sharing services
A non-owner policy provides liability protection for car rentals, but it does not cover damage to the rental vehicle itself. On car-sharing apps like Turo, you rent a car directly from the person who owns it. Coverage for harm you cause others is built into those trips; check with the agent to see if your own policy provides anything extra.
An SR-22 with a named non-owner policy
Your insurance company files a form called an SR-22 with the state to prove you meet the minimum coverage requirement. When your state or a court asks for one and you don't have a car, most people get it through a named non-owner policy. The insurer files the form for you. How an SR-22 works and how long it stays on file.
Is a motorcycle covered by non-owner insurance?
Coverage under a non-owner policy applies to cars. A motorcycle needs its own insurance, so tell the agent if you ride one as well.
Who sells it cheaper?
| Company | A year | A month |
|---|---|---|
 USAAmilitary families | $207 | $17 |
 GEICO | $458 | $38 |
 Travelers | $464 | $39 |
 State Farm | $555 | $46 |
 Farmers | $615 | $51 |
 Progressive | $708 | $59 |
 Nationwide | $758 | $63 |
 Allstate | $826 | $69 |
The insurance.com price survey gives US yearly averages, sorted from lowest to highest. USAA sells only to military families. Your state's cheapest company might be different. That survey leaves out Dairyland; look at Dairyland prices by state.
Questions people often ask about named non-owner policies
How does a named non-owner policy help you?
It does two things. When you drive a car that isn't yours, it covers any people you injure and any property you damage. Even in months you had no car, it shows you stayed insured the entire time, which may reduce what you pay the next time you buy a car.
Can I get a named non-owner policy for a car in my household?
No. You cannot buy a named non-owner policy from insurers to cover a vehicle that belongs to a person in your home. Have the owner add you to their policy instead, since that works better.
Do you pay more for a non-owner policy than for being a named driver?
The difference is usually small. In the US, a non-owner policy averages about $506 a year. Depending on your age and driving record, putting you on another person's policy may raise or lower their cost.
Get your non-owner quote by phone
A licensed agent takes your call, goes through how you drive for free, and finds you non-owner quotes right away.
Call 833-958-5598