If Someone Else Is Driving Your Car and Gets in an Accident (Georgia)
3/23/2025 | Written by Elliot Bourne
A serious car accident can be stressful, especially if you weren’t behind the wheel. Imagine you loan your car to a friend or family member and then get that dreaded phone call – there’s been an accident. As a Georgia driver, you may wonder who pays for the damage, who is legally responsible, and how this might affect your insurance.
Insurance Coverage – Who’s Covered and Permissive Use in Georgia
Handing over your car keys to someone is considered “permissive use” under Georgia insurance rules. In Georgia, auto insurance follows the vehicle, not just the driver. This means that if you give someone permission to drive your car (known as permissive use), your insurance policy will typically cover them in the event of an accident. Georgia law requires every vehicle owner to carry liability insurance (at least $25,000 per person/$50,000 per accident for injuries, and $25,000 for property damage), and that coverage extends to any driver you allow to use your car. In other words, as long as the driver had your permission, they are covered under your policy’s liability and (if you have it) collision coverage.
It doesn’t matter if you weren’t the one driving – your car’s insurance is usually the primary coverage if your vehicle is involved in a crash. If your friend causes an accident while driving your car, your liability insurance will pay for the damages or injuries to others up to your policy limits. (Your collision coverage can cover damage to your own car, minus your deductible, if you carry that coverage.)
Fault determines which insurance pays
On the other hand, if your friend was not at fault (say another driver hit them), then the at-fault driver’s insurance is responsible for the damage.
In Georgia, the insurance of the driver who caused the accident should pay for the losses. Your policy might still step in temporarily – for example, you could use your own collision coverage or uninsured motorist (UM) coverage if the other driver is uninsured – but ultimately the at-fault party’s insurer should reimburse the costs. Additionally, if the friend driving your car has their own auto insurance, that policy can act as secondary coverage. This means if the damages exceed your policy limits, or there are other costs, your friend’s insurance may cover the remainder
Permission
One key factor is permission. Insurance companies in Georgia will cover a permissive driver (someone you allowed to drive your car), but might deny coverage if the person did not have permission. If someone takes your car without your OK (often called non-permissive use), it’s like they’re not insured under your policy.
For example, if a friend or relative steals your car or uses it beyond the permission you gave and wrecks it, your insurer could refuse to pay for the damages they cause. In such cases, the driver’s own insurance (if any) would be primary, or they may be personally liable for the costs. The bottom line: always make sure anyone driving your car has your clear permission, and understand that your insurance is the front line of coverage when your car is involved in a crash.
Liability – Fault, Legal Responsibility, and Unauthorized Use
If your friend was driving your car and is found at fault, then from a legal standpoint your friend is liable for the accident (since they were the one who was negligent). However, because they were driving your vehicle, the claims for damage will typically be made against your insurance policy first.
In Georgia, the person who is 100% at fault bears financial responsibility for the accident. (If fault is shared, Georgia follows a modified comparative negligence rule – as long as your friend was less than 50% at fault, they can still recover damages from the other party, but this is a complex area best handled with legal guidance.)
The main point is that if someone else wrecks your car and they weren’t to blame, neither of you should be on the hook for the other driver’s mistakes.N
Negligent Entrustment and Family Purpose Doctrine
There are situations where you as the car owner could also be held liable, even if you weren’t driving. Georgia recognizes a “Family Purpose Doctrine” which can hold the owner accountable if a family member in the household was driving the car for a family-related purpose.
In plain terms, if you let your spouse or child (or another immediate household member) drive the family car to run errands or for family use, and they cause an accident, the injured party can potentially claim against you (the owner) directly as well as the driver.
Additionally, Georgia law considers negligent entrustment – if you knowingly let an unsafe driver use your car, you can be liable for entrusting them with the vehicle. For example, if your friend has a record of reckless driving or was intoxicated, and you gave them your keys, a court could find you negligent for allowing that person behind the wheel.
Effect on Insurance Rates – Will the Owner’s Premiums Go Up?
One of the first questions car owners ask is, “Will my insurance premium go up even though I wasn’t driving?”
The reality is that an accident can affect your insurance rates even if you weren’t behind the wheel, because the claim is made on your policy. Your auto insurance policy doesn’t distinguish who was driving when assessing risk – if it pays out for an at-fault accident, that incident goes on your insurance record and can lead to higher premiums.
It’s important to only lend your car to responsible, qualified drivers.
What if the person driving didn’t have your permission? In that case, generally you are not liable for their actions. If your car was taken without consent – say a friend’s teenager sneaks the keys, or someone outright steals your car – you typically won’t be held responsible for the accident they cause.
Since it was non-permissive use, your insurance might deny coverage for that driver’s liability. The driver who took the car unlawfully would be personally liable for any harm caused. (Your insurance may still cover damage to your own vehicle under comprehensive coverage if it was stolen, but it likely won’t cover the thief’s liability to others.)
The important thing is to clearly refuse permission if you don’t want someone driving your car, and report it immediately if your car is taken without consent.
In summary, liability in Georgia comes down to fault – the at-fault driver is liable – but vehicle owners need to be aware of special situations like family use and negligent entrustment that could put some responsibility on them as well.