Jack borrows Kevin's car and crashes it into a restaurant. Whose insurance pays for the restaurant's damage?

Question

Kevin's (owner of the car) insurance company sent a letter to Jack (borrower of the car that ran into the restaurant) telling him that they were not responsible for any of the damages due to indemnity and would not be paying for any of the damages.

Answer 1

Kevins insurance pays if Jack had permission to drive the car and has a valid drivers license

Answer 2

Depends on the insurance.  If Jack has insurance for any vehicle he drives, his insurance covers it.  If not and Kevin has insurance for any driver his insurance should cover it.  If not on both accounts then Kevin is personally liable as he is the owner and allowed Jack to drive it.  He may be able to sue Jack to regain his losses.

Answer 3

i think kevin, since someone shooting someone with a gun registered under someone elese name the owner can be held responsible

Answer 4

This scenario opens a bunch of loop holes for the insurance company's.  The two insurance companies will go back and forth to try and blame fault on one another and in the meantime when will Keven's car get repaired?

Your best bet is to get some legal advice.  Most attorneys don't get anything if they can't recover anything.  Keep in mind the attorney will want 33% of whatever is recovered, so go high on all estimates.  But as long as you continue to allow the insurance companies swap the blame, it can drag on for along time without legal assistance.

Answer 5

depends on the state of issue, and the coverages on each policy.

In Michigan, [typical for most no-fault states]

Drivers insurance kicks in first on the car/building. restaurant insurance would cover any short comings on the building. and Kevin's insurance would kick in to cover any short comings on the auto or drivers injuries.

Answer 6

The owner of the car and insurance policy of course.  But weather they pay anything depends on the insurance company and how the policy works.

Wow, thumbs down for the right anwer!

Answer 7

I thought that liability went with the driver. I think Kevin's insurance would pay for the car but Jack's would pay for the restaurant. That's how I think it should work based on my knowledge of insurance.

Answer 8

the insurance company insures the primary driver and any one listed by that driver as another driver if jack is not on that list the insurance company does not have to pay.

Answer 9

If Jack has insurance, his pays for car and restaurant...

If he does not, Kevins insurance pays both , and sues Jack for recovery.....

Answer 10

Answer from A general Insurance Agent

The only reason for Jack to receive a letter from the company at all is because Jack apparently filed a claim for property losses on Kevins Insurance Policy.

Obviously, Jack is not a named insured on Kevins Insurance Policy.

Only Kevin can claim and receive compensation for Kevins property. Only the restaraunt Owner can claim for his property.

Jack is not the owner of the restaraunt nor is he the owner of the car, therfore Jack has no legitimate claim to any of the property involved for which he can receive Indemnification.

Kevin and the restaraunt owner would have to file a property claim for their own own property, Not Jack.

It would be unlawful for the Insurer to indemnify Jack for the Loss of another persons Property. Jack is not insured under Kevins Policy.

Hopefully Jack has his own auto insurance which would follow him to a loaned vehicle and pay off for any of Jacks liabilities.

Take care