A survey conducted by temporary car insurance experts Tempcover examined British opinions on lending cars to family and friends, including children, parents, siblings and partners, particularly over the holiday period.
The research highlighted the reasons many drivers are reluctant to lend their vehicles and offers simple precautions to help them do so with peace of mind.
The research found that 30% of people wouldn’t lend their cars to family or friends due to uncertainty about insurance coverage, with 40% specifically not trusting that their friends have the correct policy in place.
Following insurance concerns, 28% of respondents who wouldn’t lend their car cited worries about the borrower’s driving ability as a reason.
The survey also highlighted some of the challenges drivers have faced when they have lent their car:
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27% of owners who had previously lent their car reported damage when it was returned
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The average repair cost for the damage was £718
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24% discovered too late that the borrower’s insurance didn’t cover the damage—or that they didn’t have insurance at all
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After damage or insurance issues, 85% of lenders ended up out-of-pocket
To help address these challenges, Adam Craddock, temporary car insurance expert at Tempcover, offers these three simple precautions to help Brits lend their lend car with peace of mind:
Check Insurance Coverage Thoroughly
Before lending your car, ensure the person driving is fully covered. Many people assume their insurance will extend to driving other vehicles, but this isn’t always the case. Some policies may exclude coverage when driving someone else’s car, or they may only cover certain situations, like third-party damage. Always confirm that their insurance explicitly covers driving other cars.
Set Clear Terms
Talk through details such as where the car will be driven, when it will be returned, and what to do in case of emergencies. Clear communication can help avoid misunderstandings later down the line.
Explore Temporary Insurance Options
Temporary car insurance offers a flexible, cost-effective way to protect both you and the borrower. It ensures comprehensive coverage for a short period, giving you peace of mind.
Lending your car doesn’t have to be stressful—these steps can help ensure a safe and smooth experience for both parties.
