How to Get Car Insurance for Driving a Company Car for Personal Use

1.

Inquire about the type of coverage your company provides you. The coverage may apply to your work time and hours on every weekday or the weekend. Every trip you make for personal use may be classified under a different category.

2.

Check to see if your company has purchased a garden-variety personal insurance to cover you. If so, you are already covered.

3.

Check to see if your spouse or adult children can use this car and if they too are covered under the company's policy.

4.

Assess the occasions and times when you will be using the company car for personal purposes. Ask your company if you are covered for all times and trips. If not, buy a separate insurance policy immediately.

5.

Call an insurance agent and get information about the type of policies and coverage offered. Usually a "drive-other-car" policy will fit your objective. Check on how many companies in your state provide such a policy.

6.

Check also for "non-owner's" insurance policies. This kind of coverage may also be good for you

7.

Shop for the best quotes from multiple agents.

8.

Choose a policy with the lowest premium. Liability insurance should suffice as you may be driving your company's car only occasionally.

Tips and Warnings

  • Involve your employer by informing the company that you may use the car for personal use, too. You may be able to pay the company for additional coverage or a surplus premium on the current policy. This way the cost will be substantially reduced and you will be covered.
  • If you already have a car and have insurance, then there may be no need to buy separate insurance. Check with your existing insurance company to see if you are insured on any car you drive.
  • When buying a "drive-other-car" policy, you can reduce the premium by informing the company that no person other than yourself will be driving the car.