Even if drivers are not considered high-risk or do not own a car, it is important to have some form of insurance. A non-owner policy helps avoid higher insurance rates in the future. Insurance companies that see gaps in insurance coverage will charge higher premiums.
People that benefit from non-owner policies are people who frequently borrow and rent cars as the insurance coverage rental companies offer is often expensive.
Non-owner policies cover body and property liability damages. Body injury liability insurance covers medical costs when you are found at fault for a collision and a person is injured. Property damage liability covers the repair or complete replacement of damaged property but not your car.
Because the coverage is more limited, non-owner policies are more affordable than traditional car insurance. A non-owner policy does not include comprehensive or collision coverage. It also does not have rental reimbursement and only a few companies offer medical coverage.