Who is liable if you have insurance but you are driving someone else's car who is insured and there is an accident?

Who's Liable in an accident?

Both the driver and the vehicle owner can be held jointly or separately liable for the entire cost of a claim. Primary Legal and Financial Liability for an automobile accident is always with the driver of the vehicle At Fault, "Coverage from the Owners Policy not withstanding" The Law requires that All Operators of a Motor Vehicle on public roads carry proof of financial responsibility at all times irrespective of ownership.

Auto Insurance does not automatically follow a car. Cars don't drive themselves. It follows the defined insureds legal liability.

Depending on the Auto Insurance Policy Form selected, coverage may or may not extend to other permitted drivers. A standard Form Auto Insurance Policy will typically extend coverage for permitted drivers while A Named Driver Policy will not.

When it comes to Liability, Auto Insurance provides coverage for the named Insured(s) financial liabilities that may arise out of vehicle ownership and operation.

The vehicle owner can be held equally liable for financial losses incurred while the vehicle is on loan depending on the legal construct of that loan.

For Financial Responsibility purposes both the Operator and the Owner can be held jointly and severally Liable.

In Most states of the US, Any coverage afforded under a policy on the at fault vehicle being driven in an accident will invoke as primary or first party coverage by contract regulation. Any trailing coverage that the operator of the vehicle may have would invoke as secondary coverage. If no coverage exists on the vehicle being driven then any trailing operators policy would step up as primary.

So the gist of the matter is this. The Driver is at fault and liable, But the Owners policy as first party coverage may be legally required to cover the accident for you if coverage is afforded.

Answer

The accident will likely still show up on your driving record, Depending on what type of insurance the owner of the car bought it may or may not cover you as driver. You're liable if it was your fault for the claim and the vehicle owner can be held liable as well because they allowed you to drive the car. Think of it this way. They gave permission for you to drive and you caused the accident. So they assume that liability when they let you drive their car.

Your own auto insurance policy would be a secondary coverage if your friend's policy has low limits or has a lapse or is insufficient to cover the loss. Your policy is secondary.