If your friend is legally responsible for another person's crash-related property damage or injuries, your policy's liability coverage typically steps in. Repairs to the vehicle are paid under collision if you purchased this coverage and are subject to the stated deductible. Medical payments coverage is available if your friend has crash-related medical bills.

The policy may, however, have stipulations applicable to unlisted drivers. For example, some policies do not cover unlisted drivers that live in your household. Or, there might be a driver exclusion on the policy that prohibits insurance coverage for a specific individual. Providing a vehicle for another person to drive and keep at another location can also be problematic. Check for specifics on coordinating primary (your policy) and secondary (the other driver's policy) insurance if a claim occurs.

A claim for someone else driving your vehicle may increase your rates. Think carefully before handing over your keys to a careless, immature individual that could hurt your insurance record.