People covered under the Car insurance policy in the USA
The auto insurance policy in the USA will cover a specific group of people and will provide protection and relief only on behalf of those people.
There are multiple car insurance companies in the USA, and every one has its own preference while choosing a company. However, due to multiple companies, there are some rules and benefits that differ from the other ones. It’s a marketing tactic to attract maximum customers. The same applies to the rules when it comes to the list of people who are covered by a car insurance company under the insurance policy, but a few factors are common for all of them, and we will discuss them in this topic.
Factors to consider
Following are the people whose name should be on the car insurance policy so that you can get relief in case if they are driving:
People at your house
The first thing that you must consider while buying a car insurance policy is that all of the people living in your home that have driving licenses must be named in the policy. The reason is, many times, you own only one car for the entire house, and multiple people are driving it so that you want protection against all of them in case of any uncertainty.
Actual owner
By actual owner, we mean the person who actually buys the car. In many cases, people buy vehicles and gift them to their loved ones. For instance, if a father gifted a car to the son, then the father’s name must be included in the insurance policy. It is an important factor, and one must focus on it to avoid any issue afterwards.
Registered owner
Other than the actual owner, the person who is the second owner or to whom the car is gifted is the registered owner of the car. On the insurance policy, the registered owner’s name must also be included so that in case of any emergency or accident, the owner can get all the benefits.
Another driver where the car is garaged
It is not a regular case, but sometimes, people buy a car, and due to any factor like the limited area they have to park it in the garage of another person living nearby. To reduce the risk of loss of benefits, one must include the name of the garage owner or driver in the car’s insurance policy.
The driver who frequently drives your car
In many houses, there is a person who is not a family member but frequently uses your car. He might be a friend or a cousin. However, in any case, the name of that person must also be included in the policy so that you don’t have to bear the expenses in case of any damage to the car while he is driving.
On the other hand, there are some people whose names are not in the policy but somehow drive your car. If in any case, they met an accident, then the insurance company will not pay you for that damage.
