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Does Auto Insurance Follow The Vehicle Or The Driver?

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2 responses to “Does Auto Insurance Follow The Vehicle Or The Driver?”

  1. David G. Pipes, CLU®, RICP® Avatar
    David G. Pipes, CLU®, RICP®

    Automobile insurance follows the car in California. The car is rated on a number of factors but primary information is the household connected to the automobile. All the drivers in the household are covered by the policy unless excluded. Recently there was quite an expensive crash involving an excluded driver who resided in the household where the car was rated. This creates enormous difficulties for everyone.

  2. Tony Canas, CPCU, MBA Avatar
    Tony Canas, CPCU, MBA

    In general auto insurance follows the vehicle. For example if Bob loans his car to James and James has an accident with it, Bob’s insurance will be the primary insurance responding to the accident. If for for some reason Bob’s insurance turned was invalid or the damages were so large that his insurance was exhausted then James’ insurance would respond as a secondary coverage.

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