Auto Insurance Claims: permission to drive, claim coverage, coverage issues

Question
Hi there,

Jen borrows her uncle's car - she has his permission to do so.  Jen gets into an accident.  Would her uncle's insurance cover her and his car?  If not, what should her uncle do in this case?

Answer
Though policies vary from company to company and from state to state, generally speaking, Jen would be covered.

This is assuming that Jen's uncle gives files the claim in a timely manner per the policy requirements, fully cooperates with the insurance company's investigation and that there are no other coverage issues as discussed below.

What you speak of is called "permissive use" and there is no problem with it as long as it is not an ongoing circumstance.  That would include a relative letting another non-resident relative use a car for months or years at a time.  This would present a garaging issue.  If you have other licensed drivers living in your household, they have to either be excluded from your policy (they have their own car and insurance) or they need to be listed as a driver (you pay an additional premium for that driver).  
Failure to handle these coverage issues properly may result in a denial of claim coverage in addition to cancellation of the policy.

Generally, if someone loans their vehicle to someone, it is covered under permissive use.

Good luck and let me know if you have any other questions.
I'd also appreciate your feedback.