Insurance For Test Drives

[derekpara]

I am selling my car soon and prospective buyers will want to test drive it. I have fully comprehensive insurance but who will pay if the test driver damages my car ?

It will be out of the question to arrange short term cover for an unknown and un-named number of drivers. Even if they have fully comp they would probably be covered for Third Party only when using my vehicle - and I think I'm right in assuming that I would not be that 'Third Party' and therefor be liable for the damage !

Your experienced knowledge and advice would be appreciated.

Cheers.

D

[Buenchico]

Not all comprehensive policies cover driving another vehicle these days. It's no longer automatic. (My own policy used to include it then, when the broker found me a better deal with another company, I lost that cover. Now I've got it back again). Conversely, some third party policies do include it.

So, in terms of staying within the law, you're required to check that anyone who asks to test drive your car has appropriate cover. (If you fail to do so, and they get stopped by the police, you'll end up with 6 points on your own licence because permitting someone to drive without insurance carries the same penalties as actually doing so).

With regard to who would pay for any damage to your car, the same principles apply as to situations where no insurance cover exists or is required. If someone causes damage to another person's property, the owner of that property can demand compensation from the person who was at fault and, if necessary, take legal action against them to ensure that they receive that compensation.

So if someone test-driving your car is involved in an accident where the other driver is at fault, it would be that other driver (or, in practice, their insurer) who would have to compensate you. On the other hand, if the person driving your car was at fault, then he would be obliged to compensate you. The fact that there was no insurance cover for him (or you) to fall back upon would be irrelevant; it would be that driver personally whom you could demand compensation from (taking him to court to get it, if necessary)

[derekpara]

If I understand your comprehensive answer correctly, Chris, I should check the test driver has Third Party insurance cover before allowing him/her to drive. Then, once the car is under their control, it is not covered by my own insurance again until they stop the car and leave the driver's seat. Correct ?
Now, would my insurance company deal with any damaging incident occurring to my car during the drive or would his/her's ? Or would I have to take private legal action to recover losses ?
I'm not used to selling cars and am looking at the legal implications for the first time. I wonder what other people do ?

Thanks yet again, Chris.

D

[Hymie]

If the person test-driving your car has third-party cover to drive another vehicle (provided as part of their fully comp. insurance), this would not cover damage to your car – but any damage they might cause to someone else. It is as though you are now driving the car with third-party cover only.

In the unlikely event that your car is damaged by the person test-driving your car (who was at fault), then you would have to pursue them through the courts system if they did not pay voluntarily. Damage that they cause to someone else would be covered by their (3rd party) insurance.

[bednobs]

i very much suspect that other people just let whoever test drive it without thinking of the consequences

[Buenchico]

Thanks for your reply, Derek.

Hymie seems to have answered for me. If the person who is test-driving your car is responsible for damaging it (and they don't immediately offer to pay for the damage) you have to send them a formal written demand for compensation, stating that you'll take legal action if you don't get the money. If they fail to pay up you then have to initiate court action against them. (You can do it online here: https://www.moneyclaim.gov.uk/web/mcol/welcome )

[derekpara]

Thanks Chris, Hymie & Bedknobs. All is now clear and I will proceed with the sale, keeping everything crossed during test drives. I'm a poor passenger at the best of times but the prospect of strangers driving my immaculate car (7200 miles only) fills me with dread.

Yes, Bedknobs, you are right. I'm sure people are unaware of the implications of selling privately.

Cheers.

D

[sapelesam]

You should always say no to a test drive. Tell the prospective buyer that you are prepared to take the car to a garage of their choice to be checked over, they pay. If you do allow them to drive it,always remove the keys as you get out of the drivers seat and when you are in the passenger seat,hand over the keys. I know a seller who didn't do this and lost his car.

[derekpara]

Good advice. Thanks, Sam.

D