Lending your car and insurance

In Quebec, it is possible to lend your car to someone else, provided this person has your permission and has a valid driver’s licence.

But if the person driving your car had an accident, would you be compensated?

Compensated or not?

Yes you would, but compensation will depend on the protections on your insurance contract.

  • If the driver is not at fault for the accident, you’ll be reimbursed for the damage incurred, even if you only have liability coverage.
  • If the driver is at fault for the accident, you’ll be compensated only if you have coverage for damage to the insured vehicle.

Endorsement 27: coverage for damages to the vehicle not owned by the driver

If the driver is responsible of the accident and has subscribed to endorsement 27 in their own auto insurance contract, they could make a claim to their own insurer.

In such a case, you would have the choice to either make a claim to your own insurer or ask the driver to file a claim to their insurance.

Note that no matter whose insurer will compensate, the accident will still be found under the personal claims file of the driver.



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