Will My Car Insurance Cover My Car If I Loan It To a Friend in New York?
Reader’s Question:
What will happen if I loan my vehicle in Hamburg, New York to a friend and he got cited for driving without a license and a ticket for speeding. Will it affect my auto insurance?
Carol
Hamburg, NY
If your friend borrow your vehicle and he got cited for driving without a license and a ticket for speeding, normally the ticket will be written to your friend and will not affect your automobile insurance rate premium. However, if the ticket was written against the car then it could affect your auto insurance rate depending on what the violation was.
Usually it is best that you lend your vehicle to someone who has a valid drivers license. Some insurance carriers will not cover if the driver does not have a valid drivers license and got into an accident, depending on the exclusion on your car insurance policy. Even if the insurance company will cover it, your automobile insurance rate in New York will be affected.
I Got a Speeding Ticket Will My Auto Insurance Rate Increase?
Reader’s Question:
If someone receives a first speeding ticket in Babylon, NY (that is under 14 miles per hour over the speeding limit), can insurance companies raise car insurance rate premiums?
Marie
Babylon, NY
New York state laws prohibit insurance companies from surcharging certain traffic violations. NY Insurance Department only allows surcharges to be applied during the experience period (typically three years) for specified incidents, some of which are:
- accidents causing bodily injury or death, or losses to property in excess of $1,000, where the insured driver is at fault; or
- convictions for certain violations (speeding more than 15 MPH over the legal limit, driving while intoxicated with alcohol or drugs, operating a vehicle while attempting to avoid apprehension by a law enforcement officer, leaving the scene of an accident without reporting it, operating a vehicle in a race or speed test, driving without a license or knowingly permitting an unlicensed person to drive your vehicle, or filing a false insurance claim)
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