Named Non Owner Policy Vs Drive Other Car Coverage

What is Named Non Owner Policy?

A Named Non Owner policy, sometimes referred to as a Non Owner SR22 policy, is a type of insurance that provides liability protection for individuals who do not own a car. This type of policy is often required if you have been convicted of certain alcohol- or drug-related offenses, or if you have had your license suspended due to multiple traffic violations. A Named Non Owner policy can provide coverage in the event that you are found to be at fault in an accident that occurs while you are driving a borrowed or rented vehicle.

The Named Non Owner policy is a relatively inexpensive way to maintain the required level of liability insurance. This type of policy is typically less expensive than a full coverage policy because it only covers liability and not physical damage to the vehicle. However, this type of policy does not provide any protection for the driver or passengers in the vehicle.

What is Drive Other Car Coverage?

Drive Other Car coverage is an optional type of insurance that can be added to a full coverage auto insurance policy. This type of coverage, also known as non-owned auto liability coverage, provides liability protection for any vehicle that the policyholder may drive, including rental cars, borrowed cars, and company cars. Unlike a Named Non Owner policy, this coverage extends to the driver and passengers in the vehicle.

Drive Other Car coverage is not available in all states and is typically not required by law. This type of coverage is typically more expensive than a Named Non Owner policy and may not be offered by all insurance companies. Additionally, this coverage typically only extends to vehicles that are owned by someone other than the policyholder.

Which is Better for You?

When deciding between a Named Non Owner policy and Drive Other Car coverage, it is important to consider your individual needs. If you are required to maintain a certain level of liability insurance due to a traffic violation or alcohol- or drug-related offense, then a Named Non Owner policy may be the best option. This type of policy can provide the required level of coverage while also being relatively inexpensive.

On the other hand, if you are looking for additional protection in the event of an accident, then Drive Other Car coverage may be the better option. This type of coverage can provide liability protection for any vehicle that you may drive, as well as protection for the driver and passengers in the vehicle. However, this type of coverage may not be available in all states and is typically more expensive than a Named Non Owner policy.

Conclusion

When deciding between a Named Non Owner policy and Drive Other Car coverage, it is important to consider your individual needs and circumstances. A Named Non Owner policy can provide the required level of liability insurance for relatively low cost. However, if you are looking for additional protection, then Drive Other Car coverage may be the better option. This type of coverage can provide liability protection for any vehicle that you may drive, as well as protection for the driver and passengers in the vehicle.