Does my insurance cover someone else driving my car in British Columbia?

January 18, 2021

Oliver Belisle, manager of market relations at Western Financial Group, has been in the insurance industry for 12 years with eight years of combined experience in personal insurance sales and underwriting/training. Insurance advisors with Western Coast Insurance Services, a division of Western Financial Group, are the experts you need for any and all questions regarding car and truck insurance.

Does my insurance cover someone else driving my car?
Yes, your insurance will cover someone else driving your car. In fact, ICBC requires that you list all potential drivers, whether secondary or occasional, on your policy. Once listed, these individuals are covered under your policy. There is also some coverage available for unlisted drivers, but it may be subject to a penalty.

Can I drive my vehicle out of province?

Yes, you can operate your vehicle outside of the province (on a road trip, for example). However, the vehicle must “live” in British Columbia and stay there the majority of the time. For more information, visit out Out of Province Checklist.

Whose insurance is affected in the event a secondary or occasional driver has a claim with your vehicle?

In the event of a claim, the individual driving at the time of the claim will be impacted and affected. For example, if a friend borrows, drives, and then gets into a collision with your vehicle, then your friends’ insurance would be impacted – but only if they are listed on your policy. Otherwise, you could incur a penalty yourself.

Are there any differences between ICBC coverage and private coverage?

Yes, there are differences between ICBC coverage and private coverage; However, fundamentally, they both provide the same core coverage: third party liability, comprehensive, and collision. The difference is that private auto insurance may offer lower deductibles and higher limits of coverage than ICBC provides. Furthermore, private policies may provide coverage for roadside assistance, lock re-keying, and rental vehicle insurance coverage free of charge, whereas ICBC charges extra for these.

If someone borrows my car, what documents should they have to prove permission to drive it?

There are no special permission documents needed to lend your car out to a friend. As long as the friend has a valid drivers’ license along with the vehicle registration and insurance papers, they have everything needed.

Can one driver (ie. a parent) give permission to their of age licensed child to drive their car periodically?

Yes, they can. However, this child would have to be listed on the policy, otherwise the insurance company could deny the claim or charge the insured a hefty penalty in the event of a claim. If a person lives at the same address as you and operates your vehicle even one day a year, they should be listed on the policy.

When would you want to classify someone as a second driver?

You want to classify someone as a secondary driver if you know that they will operate the vehicle at some point during the policy term.

Would this affect the premium?

Yes, it would affect the premium – but not necessarily in a negative way. In British Columbia, 75% of the rate is based on the primary operator’s driving record, with the other 25% based on the secondary operator with the lowest discount. Other secondary operators can be listed on the policy but do not impact the rates.

What is the importance of keeping your insurance advisor up to date with who is driving?

If you have household drivers that are not listed on your policy, then you could be hit with a fairly high penalty or risk having your claim denied.

What are the basics of car insurance?

People seem to have misperceptions about auto insurance terms, what certain coverage means, and what it does. Here are some basics:

Collision Coverage

Collision covers your vehicle for damage for which you are either partially or wholly responsible. If after a claim you are found by the adjuster to be 25% or more at fault, then collision coverage would cover the damage to your vehicle. However, if you are found 0% at fault, then the other drivers’ liability insurance would cover the damage.

Comprehensive Coverage

Coverage for damage to your vehicle caused by anything other than a collision. This includes but is not limited to: falling tree, hitting a deer, flood, theft or vandalism of the insured vehicle, and more.

Liability Coverage

Liability covers you for the cost of damages to other people and/or their property, for which are you deemed to be partially or wholly responsible.