Non-Owner Car Insurance in Tennessee

Farm Bureau offers the cheapest non-owner policy in Tennessee at $38 monthly, saving drivers $19 compared to the most expensive option. Six insurers provide non-owner coverage in the state, though not all major carriers offer this type of policy. You'll need to call insurers directly for quotes since most don't have online tools available for non-owner insurance, making it worth the effort to compare rates given the potential savings.

Non-owner insurance costs less than traditional policies because it includes only liability coverage that meets Tennessee's minimum requirements for property damage and injuries you cause to others. Regular car insurance costs more since it offers higher liability limits plus comprehensive and collision coverage that protects your own vehicle. This makes non-owner policies one of the more affordable types of car insurance for drivers who don't own cars.

Across six providers in Tennessee, non-owner car insurance averages $48 monthly, though the statewide average runs $67 per month or $801 annually. This difference shows there's real value in shopping around, since actual rates vary based on market data and individual factors.

Several factors affect non-owner insurance rates in Tennessee, but your driving record, age, coverage choices and insurer selection matter more than state laws.

• Driving history: A clean record keeps your costs low. Drivers with an accident pay $58 per month, while those with a DUI pay $65 per month.
• Driver age and experience: Age plays a big role in non-owner policy pricing. Seniors get the best deal at $47 monthly, young drivers pay $52, and adults face the highest rates at $60 per month.
• Coverage limits: Boosting your liability limits from Tennessee's state minimums increases costs. Basic minimum coverage costs $67 per month, while full coverage with higher limits costs $81 per month.
• Choice of insurer: Rates vary between companies. Farm Bureau offers Tennessee's most affordable option at $38 monthly, while State Farm charges $57 for similar coverage. It's worth shopping around to find your best rate.

If you frequently rent or borrow vehicles but don't own one yourself, non-owner car insurance might be what you need. This coverage works well for people who must file an SR-22 to reinstate their license, regularly borrow cars from friends or family, or rent vehicles often. The policy meets Tennessee's minimum liability requirements of $25,000 for bodily injury per person, $50,000 per accident, and $25,000 for property damage.

When you're behind the wheel, this policy covers injuries and property damage you cause to others, but it won't pay for damage to the car you're driving. If you borrow someone's vehicle, your non-owner coverage kicks in for any accidents you cause. When renting a car, the policy provides liability protection, though you'll still need separate coverage for damage to the rental vehicle itself.

Non-owner car insurance meets Tennessee's financial responsibility requirements and works for drivers who need SR-22 filings. The state recognizes it as legitimate liability coverage, making it a valid option for drivers without personal vehicles. You'll find it harder to locate than standard auto insurance since fewer insurers offer non-owner policies.

To get coverage, you'll need to call insurance companies directly or work with an agent since online quotes aren't available for these specialized policies. Companies don't include non-owner options on their websites due to the unique nature of this coverage. MoneyGeek found average rates and phone numbers for insurers who offer policies in Tennessee.

Non-owner insurance helps drivers who don't own vehicles but frequently rent or borrow cars. It's most useful for maintaining continuous coverage or meeting Tennessee's license reinstatement requirements.

• Regular car rentals: Rental companies charge daily liability fees that add up quickly. A non-owner policy provides consistent protection across all rentals while potentially saving money for frequent renters who would otherwise pay these daily charges repeatedly.
• Frequent vehicle borrowing: When you regularly drive friends' or family members' cars, their insurance covers accidents you cause, but their rates go up. Your non-owner policy pays claims first, protecting their premiums from increases.
• License reinstatement: Tennessee requires proof of insurance to reinstate suspended licenses. A non-owner policy meets this state requirement even when you don't own a vehicle, helping you get back on the road legally.
• Maintaining continuous coverage: Coverage gaps increase future insurance rates. If you're between cars or transitioning lifestyles, a non-owner policy keeps your insurance history clean and prevents costly rate jumps later.

A non-owner policy isn't appropriate for those who:

• Own vehicles (standard auto policies are required)
• Drive infrequently (occasional trips don't justify the cost)
• Have access to household vehicle insurance (get added to that existing policy)
• Need coverage for single trips only (rental company insurance handles one-time needs better)

Here are answers to common questions about non-owner insurance in Tennessee:

MoneyGeek gathered Tennessee auto insurance rates from the Tennessee Department of Commerce & Insurance and Quadrant Information Services. We analyzed 240 car insurance quotes from six providers and found the state's most affordable and best options.

Coverage Levels

We evaluated non-owner car insurance rates from companies in Tennessee at minimum coverage levels. Tennessee's minimum coverage requires:

• $25,000 for bodily injury liability per person
• $50,000 for bodily injury liability per accident
• $25,000 for property damage liability per accident

Drivers and Cars in Tennessee

We used a standardized driver profile having these characteristics to identify the most affordable and best companies for non-owner car insurance in Tennessee:

• 40-year-old male
• Clean driving record
• Good credit history

Learn more about MoneyGeek's car insurance methodology.