Should you lend your car to someone else? It depends. If you decide to do so, you are also lending that person your Prince Edward Island car insurance coverage. The insurance follows the car, not the person who is doing the driving.
As long as the person driving your vehicle has your permission to do so, he or she will be covered under your insurance policy. If the borrower is involved in an at-fault accident with your car, the incident will be put on your driving record and your rates will go up as a result. If you decide to lend your car to someone on a regular basis, you will need to add him or her to your car insurance policy as an occasional driver.
Tickets are handled in a different manner than at-fault accidents. If the person who borrowed your car gets a ticket while behind the wheel, he or she is responsible for paying this amount.
Before you decide to lend your car to someone else, consider the matter very carefully. At the very least, you will want to be sure that the borrower has a valid driver’s license and can drive legally in the province. Consider the person’s driving record and if you are in the least bit uncomfortable lending your car and your Prince Edward Island car insurance coverage, the safer choice is to say No.