Clients often ask if it is okay to let others drive their car, in legal terms become a permissive user. The two criteria which must be met before tossing your keys to someone are; does this driver have a license and do they have their own insurance policy? In the past it was rare to advise someone against this sort of generosity. Unique exceptions like the driver was from another country, which would raise uncertainty about an international drivers license or whether their insurance policy would provide coverage in the United States.
Within the past few days though I read two articles that make me more reluctant to be so comfortable about this topic. The first article included data on how severe the problem of uninsured drivers are in the state of Ohio. The IIABA reports that 15% of our drivers are uninsured, placing Ohio in the top third in the nation. The second was story from USA Today on January 20th, which reported that a growing number of Millennials are not obtaining a drivers license.
Now, there are certainly many factors which should be considered. Quite possibly the trend for fewer citizens within this given age bracket to become licensed drivers will actually improve the ratio of insured drivers. Maybe the numerator is not the problem it’s the denominator which needs to be lowered.
But for those of us who have a car and are put in the position of allowing someone else to borrow it, we must be the responsible party and ask the right questions; do you have a license and do you have insurance? Parents, please remember to also pass this advice along to your youthful drivers. There is no need to invite the risk of others.
Below is an article from Claims Journal on the topic of Permissive User Status
Claims Journal November 16, 2009 – Essentials: Determining Permissive User Status in Auto Liability
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