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🚗 '''Drive other car coverage''' is an [[Definition:Endorsement | endorsement]] added to a [[Definition:Commercial auto insurance | commercial auto policy]] that extends [[Definition:Liability coverage | liability]] and sometimes [[Definition:Physical damage coverage | physical damage]] protection to a named individual — typically a business owner, partner, or executive — when that person drives a vehicle not owned by or listed on the company's policy. Without this endorsement, a gap can arise: the individual may have no [[Definition:Personal auto insurance | personal auto policy]] because they exclusively use a company car, yet the commercial policy covers only scheduled or hired vehicles, leaving the person uninsured when borrowing a friend's car or renting a vehicle for personal use.

🔧 The endorsement works by designating one or more individuals on the [[Definition:Commercial auto insurance | commercial auto]] policy and specifying the coverages that follow them into non-owned, non-company vehicles. Common elements include [[Definition:Bodily injury liability | bodily injury]] and [[Definition:Property damage liability | property damage]] liability, [[Definition:Medical payments coverage | medical payments]], [[Definition:Uninsured motorist coverage | uninsured/underinsured motorist]] protection, and sometimes [[Definition:Comprehensive coverage | comprehensive]] and [[Definition:Collision coverage | collision]] coverage for the borrowed or rented vehicle itself. [[Definition:Underwriter | Underwriters]] evaluate the driving records of the named individuals, the scope of coverages requested, and the [[Definition:Limit of liability | limits]] to be provided before attaching the endorsement. It is important to note that drive other car coverage generally applies only to vehicles not owned by the named individual — if they personally own a car, a separate [[Definition:Personal auto insurance | personal auto policy]] is typically required.

💡 This endorsement fills what can be a surprisingly consequential coverage gap, particularly for small-business owners who have given up personal vehicles in favor of a company-provided car. A serious [[Definition:Accident | accident]] while driving a borrowed vehicle without proper coverage could expose both the individual and the business to significant [[Definition:Out-of-pocket loss | out-of-pocket losses]] and [[Definition:Litigation | litigation]]. [[Definition:Insurance agent | Agents]] and [[Definition:Insurance broker | brokers]] who serve commercial accounts should proactively review whether key personnel rely exclusively on company vehicles and recommend the endorsement where warranted. It is a relatively low-cost addition that prevents a potentially high-severity [[Definition:Errors and omissions (E&O) | E&O]] scenario for the producer and a devastating uninsured loss for the client.

'''Related concepts:'''
{{Div col|colwidth=20em}}
* [[Definition:Commercial auto insurance]]
* [[Definition:Personal auto insurance]]
* [[Definition:Endorsement]]
* [[Definition:Hired and non-owned auto coverage]]
* [[Definition:Uninsured motorist coverage]]
* [[Definition:Liability coverage]]
{{Div col end}}

Definition:Drive other car coverage - Revision history

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