QUESTION
If grandpa owns the car, is he liable if I get into an accident if it's insured in my name?
Asked on Jan 07th, 2014 on Personal Injury - Michigan
More details to this question:
I am in the Air Force. I needed a car but at the time, my credit was nonexistent. I couldn't have my name on a loan at all. My grandpa signed a loan for me which I paid off. We haven't had a chance to switch the car into my name. The insurance is 100% in my name and my grandparents are really worried they will be liable if I get into an accident. Will they be liable?
12 ANSWERS
As the owner they could be liable in an accident that ended up in you being liable for more than your insurance policy.
Answered on Jan 14th, 2014 at 6:13 PM
Ronald A. Steinberg
Yes, as the owner.
Answered on Jan 10th, 2014 at 9:39 AM
1 Award
You can tell your grandparents that they do not have to worry. Neither of your grandparents were negligent in causing the accident. The only way someone could win a case against your grandparents would be to prove that one of your grandparents was negligent in driving the case. Since that is not what happened, you can tell them they do not have to worry.
Answered on Jan 09th, 2014 at 12:28 PM
Auto Attorney serving Bloomfield Hills, MI
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Gregory M. Janks, P.C.
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In Michigan there is an Owner Liability Statute which makes the owner of a motor vehicle, that is driven with their permission, co-extensively liable with a negligent driver. Of course, if the vehicle is insured it is typical that any liability for negligent operation is paid for by the insurer. However, if the vehicle has only minimal insurance limits and the injuries caused are significant, it could be that the injured party will seek to collect the personal assets of the owner and/or driver. Thus having reasonable limits and/or umbrella insurance is a consideration if there are sufficient individual personal assets to be protected.
Answered on Jan 09th, 2014 at 12:28 PM
Edwin K. Niles
In Cal., an owner is liable up to $15,000. If you have insurance, you and he are covered up to the policy limit.
Answered on Jan 09th, 2014 at 12:28 PM
James Eugene Hasser
Not in Alabama. To be liable, they would have to be driving and cause an accident. Good luck.
Answered on Jan 09th, 2014 at 12:27 PM
Personal Injury Attorney serving Charlotte, NC
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Paul Whitfield and Associates P.A.
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In NC the owner and operator are liable for the vehicle operation. go to DMV and get your title changed Insurance should cover you but maybe not enough coverage if claim is large
Answered on Jan 09th, 2014 at 12:27 PM
Personal Injury Attorney serving Kent, WA
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Law Offices of Wayne J. Wimer, Inc. P.S.
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The loan is paid off; the insurance is in your name. Go to the DMV and transfer title to yourself so that your grandparents don't need to worry about liability.
Answered on Jan 09th, 2014 at 12:26 PM
Liability is assigned to the person who is negligent. The person potentially liable for an accident is the one who was driving and caused it due to negligence. Even if your grandfather carried the insurance on the car, he could not be liable for your actions, but his insurance company would be obligated to cover any damages. The potential negligence for your grandfather would be negligent entrustment. If you have a bad driving record or other issues that would alert him to know not to loan you the car he owns, he could be liable. But, in order to relieve your helpful grandfather of his worries, you should just change title on the car as soon as possible.
Answered on Jan 09th, 2014 at 12:26 PM
Automobile Negligence Attorney serving Orlando, FL
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Kelaher Law Offices, P.A.
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If grandpa owns the care, he is liable. The owner of a car is just as responsible in Florida as the driver of the car.
Answered on Jan 09th, 2014 at 12:26 PM
Personal Injury Attorney serving Salt Lake City, UT
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William Enoch Andrews Injury Lawyer
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No. Since you are the named insured (the car insurance is issued in your name, not your grandfather's) you would be liable if you caused a car accident, not either of your grandparents. It would be wise to get the title transferred from your grandfather to you quickly too, for clarification on current ownership.
Answered on Jan 09th, 2014 at 12:25 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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Generally yes, both the driver and the owner of the automobile I liable for any damages caused by it. As the car is paid off, it should not be transferred into your name.
Answered on Jan 09th, 2014 at 12:21 PM