It is estimated that almost 10% of American households currently don’t own a car. Indications are that number is increasing. The rising costs of car ownership, availability of public transportation, convenience of ride sharing services and people choosing to live closer to their workplace are all contributing factors. Some even suggest that minimizing carbon footprints may be having an impact as well. Whatever the reasons, the facts remain; car ownership is trending downward. This is particularly true in urban areas and for younger families and singles. There are simply other options.
If you don’t own a car, does that mean you shouldn’t carry car insurance? Here are some factors to consider.
Will Your Lack of Car Ownership Be Temporary?
If you will just be without a vehicle for a few months, you may be better off switching to non-owner auto insurance. Insurance companies like to see continuous coverage and a gap in auto insurance coverage may end up costing you more in the long run. Plus, non-owner’s auto insurance is less expensive than traditional car insurance.
Will You Be Driving?
Just because you don’t own a car doesn’t mean you won’t be driving. If you will be borrowing a car from a friend or relative, getting your own coverage is responsible and wise. Their limits may not be sufficient to cover any damage you may cause and your insurance may shield you from any resulting lawsuits.
Non-owner car insurance is purchased individually, and does not cover members of your family. It only provides liability coverage (damage to others and their vehicle) and usually does not include a deductible. It is often significantly less expensive than traditional car insurance. Non-owner’s car insurance may help you save when not owning a car, while still protecting your interests when you drive.
Whether you own the vehicle you drive or are considering a non-owner’s policy, our independent agents can help. We have access to multiple insurance companies and can find a company to provide the coverage you need, at a price you can afford. Considering non-owner’s car insurance? It never hurts to compare. We invite you to compare with us.
Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder
Search for a local agent with our agent finder map.
Read more about KayLynn's background.
What We Speak and Where We Eat Both Divide and Bring Us Together
These Songs Were Specific In the Cars They Mentioned
You Don’t Necessarily Need to Make Major Investments When Selling
Some We’ve Seem to Have Forgotten, Others We May Have Thrown Away
Uncovering Your Child’s Potential
You May Not Need a Car in These Metros
How Do You Decide What is Best For You?
Where Have All the Tellers Gone?
Is Your Advertising Sharp and In Focus?
Some of These May Surprise You