We often have friends or family visiting Florida, and it seems natural to toss them the keys to run to the store. The question is: “Am I covered if they crash?”

The answer is yes, absolutely. If you give someone permission to drive your car, they are insured under your policy.

However, there is a massive catch you need to understand. If they get into a collision, that claim goes against your policy, not theirs. You are the one taking the risk. Even though you weren’t driving, it goes down as a claim on your record because it is your asset.

So, before you let a guest drive your car to the shopping mall, just remember that you are effectively lending them your insurance history, too. If they are a bad driver, you are the one who will pay the price in higher premiums later.