Expert: Doctor Settlement - 2/20/2008

Question
Good Morning my question is involving my grandmother. She lives in FL and had a friend staying at her home while on vacation, also an elderly gentleman. He took, without permission, one of her cars that she had parked in the front of her home and crashed it into a neighbor’s house. She did not have any coverage on that vehicle hence why it was parked. He on the other hand has coverage for his own personal vehicle through AAA South. My question is wouldn't his insurance be responsible due to the fact that she never gave him permission to take the vehicle or is my grandmother stuck paying for the neighbor’s home. Thank you for your help.

Answer
Hi Chris,

Your grandmother has no liability whatsoever for the damage to the house, UNLESS she was negligent.  Did she give him the keys, or some other negligent act?  NO.  Hence, she is not responsible for the actions of someone driving her car without permission.

His insurance will cover him driving the vehicles owned by others.  Hence, both the neighbor and your grandmother need to make their claims through his insurance.  She should not have to absorb the loss to her vehicle.  When she gets the check for repairs she does not have to use the check to repair her vehicle (unless the bank has a lien on it).  She can leave the damaged vehicle parked once again and just pocket the insurance payment.

Best wishes,

Dr. Settlement, J.D. (Juris Doctor)
www.settlementcentral.com