What Happens if Someone Borrows My Car and Wrecks It in Spokane, WA?

Lending your car to a friend or family member might seem like an easy decision—until they call and tell you they’ve been in an accident. At that moment, you start wondering: Who is responsible for the damage? Will my insurance cover it? Can I be sued?

In Washington State, auto insurance generally follows the car, not the driver. However, that doesn’t mean you’re automatically covered in every situation. Depending on who was driving, the details of your insurance policy, and the circumstances of the accident, you could be held financially and legally responsible for repairs, medical expenses, or even a lawsuit.

Beyond insurance, Washington has strict laws regarding financial responsibility and mandatory insurance that can impact both you and the borrower if damages aren’t covered. Legal claims and out-of-pocket costs can follow if you aren’t careful.

If you’re wondering, “what happens if someone borrows my car and wrecks it,” this blog explains how insurance applies, your potential legal liability, and the steps you should take next.

Does Auto Insurance Follow the Car or the Driver?

Washington State operates under the rule that car insurance follows the vehicle, not the driver. This means that if someone borrows your car and gets into an accident, your insurance policy is the primary source of coverage—not theirs.

However, there are exceptions and limitations that depend on your policy, the driver, and the circumstances of the crash.

When Your Insurance Covers the Accident

Your insurance typically applies if:

• The driver had your permission to use the vehicle.
• The driver was not excluded from your policy.
• The accident was not intentional (e.g., the driver wasn’t using the car to commit a crime).

When Your Insurance Might Deny Coverage

Your insurer may refuse to pay if:

• The person took your car without your permission.
• The driver was specifically excluded from your policy.
• The driver was intoxicated, reckless, or unlicensed, and you knowingly let them drive.
• The car was being used for business purposes that are not covered under personal auto insurance.

Who Pays for the Damages?

The financial responsibility for the accident depends on who was at fault and the insurance policies in place.

If the Other Driver Was at Fault

If the accident was caused by the other driver, their insurance should pay for:

• Vehicle repairs
• Medical expenses
• Other damages (e.g., lost wages, pain and suffering)

However, if the at-fault driver is uninsured or underinsured, you may need to file a claim under your Uninsured/Underinsured Motorist (UM/UIM) coverage—if you have it on your policy.

If the Person Borrowing Your Car Was at Fault

If the driver of your car was responsible for the accident:

• Your insurance will cover damages (up to your policy limits).
• You may have to pay the deductible before repairs begin.
• Your insurance rates could increase, since the claim is tied to your policy.

If damages exceed your coverage limits, the borrower’s insurance may kick in as secondary coverage. If they don’t have insurance, you or the driver could be personally responsible for the remaining costs.

Impact on Your Insurance Rates

An accident involving your car can lead to higher insurance premiums—even if you weren’t the one driving. Washington insurers assess risk based on claims history, and filing a claim under your policy can make you appear riskier to insure.

If the borrower of your car was at fault, you may see an increase in your premiums at renewal. The severity of the accident, the claim amount, and whether your insurer had to pay out of pocket all factor into rate changes. Some insurers offer accident forgiveness programs, but these typically apply only to the policyholder’s driving history.

In some cases, an at-fault accident could even lead to policy non-renewal, especially if your insurer sees a pattern of high-risk incidents.

Could You Be Personally Liable?

Your insurance is designed to handle most situations, but there are cases where you could be personally responsible for damages—especially if you lent your car to someone who shouldn’t have been driving.

Negligent Entrustment in Washington

Washington recognizes negligent entrustment, meaning you can be held legally liable if you loan your car to someone who is:

• Unlicensed
• Known for reckless driving
• Under the influence of drugs or alcohol
• Medically unfit to drive

If the injured party can prove you knew (or should have known) that the driver was unfit to drive, you could be sued for damages.

What Happens If the Borrower Leaves the Scene (Hit-and-Run)

If the person who borrowed your car leaves the scene of an accident, the situation becomes even more complicated. Washington law requires drivers to stop after an accident involving injury, death, or property damage. Fleeing the scene can lead to criminal charges under RCW 46.52.020.

If the borrower was at fault and fled, you might be dealing with both insurance consequences and potential liability. Your insurer could deny the claim, arguing that the driver’s actions violated policy terms. If law enforcement identifies the driver, they could face criminal charges, and you might need legal guidance to protect yourself from financial liability.

If your car was involved in a hit-and-run and you don’t know who was driving, report it to the police immediately and contact your insurer. Some policies cover hit-and-runs under uninsured motorist property damage (UMPD) coverage, but only if you have it in your policy.

Key Washington Laws That Affect Car Accidents and Liability

Washington has insurance and liability laws that determine who is responsible for damages when someone borrows your car and gets into an accident. Here’s how these laws apply:

• Liability Insurance Requirements – Washington law requires all drivers to carry minimum liability coverage of $25,000 per person, $50,000 per accident, and $10,000 for property damage (RCW 46.30.020).
  • Example: You lend your car to a friend, and they rear-end another vehicle. Since liability insurance follows the car, your policy is responsible for covering damages to the other driver’s vehicle and any injuries—up to your policy limits. If damages exceed your coverage, the other driver may sue either you or the person who borrowed your car.
• Comparative Negligence Rule – Washington follows a pure comparative negligence system, meaning each party involved in an accident is assigned a percentage of fault. Any compensation is reduced based on the percentage of responsibility (RCW 4.22.005).
  • Example: Your coworker borrows your car and gets into an accident where both drivers share fault. If they are 40% responsible and the other driver is 60% responsible, your insurance would cover 40% of the other driver’s damages, while the other driver’s insurance would cover 60% of yours. If your coworker was injured, their ability to recover compensation would be reduced by their percentage of fault.

These laws impact who pays for damages after an accident and how financial responsibility is determined. Reviewing your policy and knowing your rights can help you avoid unexpected costs.

Optional Coverages That May Apply

While not required by law, certain optional coverages can affect your financial responsibility if someone crashes your car:

• Personal Injury Protection (PIP) – Washington law requires insurance companies to offer PIP, but you can decline it in writing (RCW 48.22.085). PIP helps cover medical expenses and lost wages, regardless of who caused the accident.
  • Example: Your cousin borrows your car and gets into a single-vehicle crash. If you have PIP, it may cover their hospital bills and lost income, even if they caused the accident. If you declined PIP, they may have to rely on their own health insurance.
• Uninsured/Underinsured Motorist (UM/UIM) Coverage – If an uninsured driver hits someone driving your car, your UM/UIM coverage could help pay for injuries and damages. This coverage is optional but strongly recommended.
  • Example: Your roommate is driving your car when an uninsured driver runs a red light and hits them. If you have UM/UIM coverage, it may cover their medical expenses and vehicle damage. Without it, they may have to pay out of pocket or sue the at-fault driver.

What to Do If Someone Wrecks Your Car

If someone calls to tell you they’ve been in an accident while driving your car, your response can affect how smoothly the insurance process goes.

1. Get the Details from the Driver

Ask them for key information about the accident, including:

• Where and when it happened
• Who else was involved
• Whether anyone was injured
• If police were called to the scene
• Whether the vehicle is drivable

If they haven’t already done so, instruct them to call the police if the accident involves injuries, significant damage, or a hit-and-run.

2. Contact Your Insurance Company

Even if the damage seems minor, notify your insurer as soon as possible. Provide:

• The name of the person who was driving
• A summary of what they told you about the accident
• Contact information for the other driver(s) and any witnesses
• The police report number (if available)

Your insurer will advise you on the next steps for filing a claim and assessing the damage.

3. Review Your Policy for Coverage Details

Check whether your policy covers:

• Damage to your vehicle (collision coverage)
• Liability for injuries or property damage (if the driver was at fault)
• Rental car reimbursement while your car is being repaired

If the person who borrowed your car has their own insurance, their policy might provide secondary coverage if the damages exceed your limits.

4. Arrange for Repairs or a Replacement Vehicle

If your car is not drivable, ask your insurer about approved repair shops and whether rental car reimbursement is available under your policy. If the accident resulted in a total loss, your insurer will evaluate your car’s value for a settlement.

5. Address Any Legal or Financial Concerns

If the accident involved significant damages or injuries, you might be contacted by the other driver’s insurance company or even face a lawsuit. In cases where:

• The damages exceed your insurance limits
• You suspect the borrower was driving irresponsibly
• You’re unsure about liability risks

It may be beneficial to consult with a Spokane car accident attorney about your responsibilities and options.

When to Contact a Spokane Car Accident Attorney

There are situations where speaking with a Spokane car accident attorney could be beneficial, particularly if:

• The damages exceed your insurance coverage
• You are facing a lawsuit for negligent entrustment
• The borrower of your car refuses to take responsibility

Washington’s comparative negligence laws and insurance exclusions can make liability complicated. An attorney can review your case and outline your options for protecting yourself financially.

Letting someone borrow your car in Spokane can have serious financial and legal consequences if they get into an accident. Your insurance is typically responsible, but there are situations where you could be personally liable.

Before handing over your keys, consider the risks. If an accident happens, acting quickly and understanding your insurance policy can make all the difference.

Protecting Your Rights After a Car Accident in Spokane

Lending your car to a friend or family member is an act of trust, but when an accident happens, the legal and financial consequences can be overwhelming. You may be dealing with insurance disputes, liability concerns, or even potential legal action.

At Albrecht Law, we understand how Washington’s insurance laws impact vehicle owners, and we know how to protect you from unnecessary financial burdens. Whether you need to dispute a denied claim, seek reimbursement for damages, or defend against a lawsuit, our team is ready to take action on your behalf.

We bring a deep knowledge of Washington insurance and liability laws, a track record of success in complex claims, and a commitment to standing up for our clients. Our Washington Legal Reference Guides are frequently cited by the Washington State Court of Appeals and the Washington State Supreme Court, reflecting our dedication to legal excellence.

Your online search for “car accident injury lawyers near me” or “Spokane accident attorneys” brought you to this blog. Take the next step and call Albrecht Law at (509) 495-1246(509) 495-1246 to schedule your FREE consultation, or contact us through our confidential online form today.

We proudly serve clients across Eastern Washington, including Spokane, Adams, and Grant Counties. Let’s discuss your options and take the next step toward resolving your case.

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The information in this blog post (“post”) is provided for general informational purposes only and may not reflect the current law in your jurisdiction. No information in this post should be construed as legal advice from the individual author or the law firm, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting based on any information included in or accessible through this post without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from a lawyer licensed in the recipient’s state, country, or other appropriate licensing jurisdiction.

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Spokane Valley, WA 99212
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