Non-Owner Car Insurance in Ontario: Is It Right for You? Costs and Coverage Explained

Many people who reside in large cities are able to get by without owning a car because public transportation meets their needs. Nevertheless, there may be times when you need to run an errand or arrange a day excursion for your “weekend getaway,” both of which require you to have access to a vehicle. After that…

Have you ever gone on a trip and borrowed a car from a friend or hired a vehicle for the purpose of the trip? If so, have you ever thought about how you would be protected in the event that you were involved in an accident?

Will the owner of the car be the only one who is insured, or will your protection extend to you as well? You will be covered if you have non-owner car insurance in the province of Ontario. Let’s go into more detail about non-owner automobile insurance so that you can better determine whether or not it is the type of coverage that meets your requirements.

Who Can Insure a Vehicle They Don’t Own in Ontario?

In Ontario, only the registered owner of a vehicle is required to have insurance coverage for that vehicle. However, if you are not the owner of the vehicle but are frequently driving it, you may still want to consider getting insurance coverage.

There are a few situations in which you may want to insure a vehicle you don’t own:

You are a frequent driver of a company vehicle or a vehicle owned by someone else, such as a friend or family member.
You are renting a vehicle and want to protect yourself against any potential damages or liability.
You are considering purchasing a vehicle and want to get insurance coverage while you are in the process of finalizing the sale.

In these situations, you can get insurance coverage for a vehicle you don’t own by purchasing a non-owner’s insurance policy.

What is a Non-Owner’s Insurance Policy?

A non-owner’s insurance policy is a type of auto insurance that provides coverage for drivers who don’t own a vehicle but frequently operate one. This type of policy can be a good option for those who don’t have a regular vehicle of their own but still need insurance coverage when they are driving.

Non-owner’s insurance policies typically cover:

Liability coverage for damages or injuries you may cause to others while operating a vehicle.
Medical payments coverage for any injuries you may sustain while operating a vehicle.

Non-owner’s insurance policies do not typically cover:

Physical damage to the vehicle you are driving.
Loss of use or rental car expenses.

It’s important to note that non-owner’s insurance policies are not a substitute for a regular auto insurance policy. If you own a vehicle, it’s still important to have proper insurance coverage for that vehicle.

Who Can Get Non-Owner Auto Insurance?

Non-owner automobile insurance is available to any licensed motorist who does not own a vehicle. Many insurance providers, however, won’t provide non-owner insurance to drivers who have access to a household vehicle. Therefore, non-owner auto insurance isn’t the best option if a family member or a member of your household is lending you a car. In this situation, even if you only drive occasionally, you must be listed as a driver on your family member’s insurance policy.

What Does Non-Owner Auto Insurance Cover?

Liability coverage is a feature of non-owner car insurance policies, and it covers any property damage and bodily harm to pedestrians or other drivers (but not to passengers) as a result of your negligence causing an accident involving a vehicle you do not own.

What is frequently misunderstood is that this coverage does not protect other drivers; it only covers the policyholder. Nevertheless, you may anticipate that the majority of non-owner insurance policies will offer the following kinds of coverage:

Personal injury protection. Insurance protection for accidents-related injuries, regardless of culpability. This added insurance may also pay for costs not directly related to medical care, such lost wages.
Underinsured/uninsured driver coverage. This insurance coverage protects you in the event that you are hurt in a hit-and-run accident or are engaged in one that was caused by a driver who was either underinsured or had insufficient insurance.

How Do To Get a Non-Owner’s Insurance Policy in Ontario?

In Ontario, a non-owner’s insurance policy is a type of automobile insurance that provides coverage for individuals who do not own a car but occasionally drive someone else’s vehicle. If you do not own a car and you need insurance to cover you when you drive someone else’s vehicle, you can purchase a non-owner’s insurance policy. Here’s how you can get a non-owner’s insurance policy in Ontario:

Contact a licensed insurance broker or company: This insurance coverage will protect you in the event that you are injured in a hit-and-run accident or are involved in an accident that was caused by a driver who did not have insurance or who did not have sufficient insurance coverage.
Provide the necessary information: You will be required to supply some fundamental information about yourself, such as your name, address, and driver’s license number, whenever you speak with an insurance broker or company. You might also be asked to supply information on your driving history, including details about any collisions or moving offences you’ve been convicted of in the past.
Choose a policy: Because plans for non-insurance owner’s often come with a variety of coverage options, you will need to select a plan that is tailored to your specific requirements. Before making a choice, you should first make sure that all of the specifics of the policy have been thoroughly examined, and then you should address any queries you have to the insurance broker or firm.
Pay the premium: After you have decided on a policy, you will have to make the initial payment of the premium in order to put the coverage into effect. Your age, your driving history, and the level of coverage you select can all play a role in determining the cost of your non-insurance owner’s premiums.
Keep your policy active: It is essential to maintain coverage under your non-insurance owner’s policy by making on-time premium payments, as this will keep the policy valid. If you have let your insurance policy to lapse, you will not be insured if you drive a car that belongs to another person.

How Much is Non-Owner Auto Insurance in Ontario?

Non-owner automobile insurance is something to consider purchasing if you do not own a vehicle but frequently use someone else’s or rent one. On a yearly basis, the cost will often range anywhere from $200 to $500 on average.

An acceptable expenditure, especially when one considers the financial burden that would be incurred in the event of an accident in which appropriate insurance coverage was lacking.

The cost of premiums for non-owner automobile insurance is determined by a number of different criteria, much like the cost of premiums for any other type of auto insurance, including the following:

Claims history. If you have a long list of claims that have been made on your driving record, then you should expect to pay higher premiums because you are considered a high-risk driver.
Driving record. Auto insurance prices are typically far more affordable for drivers who have not accrued any moving violations in the past.
Age/experience. Because they have less driving experience and are more inclined to take excessive risks on the road, insurance companies typically charge younger drivers, those under the age of 25, a higher premium for their vehicle coverage.
Amount of coverage required. A car insurance policy with “bare bones” coverage is considered to be the most affordable option.
Discounts available. Varies from insurer to insurer.

Risk is the single most important factor in determining the cost of a non-owner motor insurance policy. The higher your risk is seen to be in the eyes of your insurance provider, the higher the cost of your policy will be.

In Conclusion

A non-insurance owner’s policy can be bought in Ontario to cover a vehicle that you do not own. Drivers who frequently operate a car they do not own can benefit from the liability and medical payments coverage offered by this type of policy. Finding the greatest coverage and price for your needs requires comparison shopping among various insurance companies.