We must remember that "car insurance follows the car, not the person." As long as you have purchased compulsory traffic insurance and commercial insurance, if an accident occurs when you lend your car to someone else, the car's insurance can be used as long as it falls within the coverage scope, and the insurance company will compensate within the liability limits. Of course, any insufficient amount will need to be covered by the person using the vehicle. If the vehicle owner is at fault for the accident, they will also bear corresponding liability for compensation. Compulsory traffic insurance only compensates others, not the policyholder. When the policyholder is at fault, the compulsory traffic insurance can cover a total of 122,000 yuan: the death and disability compensation limit is 110,000 yuan; the medical expense compensation limit is 10,000 yuan; and the property damage compensation limit is 2,000 yuan. When the policyholder is not at fault, the total compensation is 12,100 yuan: the no-fault death and disability compensation limit is 11,000 yuan; the medical expense compensation limit is 1,000 yuan; and the property damage compensation limit is 100 yuan. Additionally, the coverage of third-party liability insurance under commercial insurance is consistent with compulsory traffic insurance. In the event of a major accident where medical and property damage costs far exceed the compensation limit of compulsory traffic insurance, third-party liability insurance serves as a supplement. Furthermore, car damage insurance covers damage to your own vehicle. In the case of a two-party accident, liability must be determined. If you are fully or partially at fault, your own car damage insurance will cover your vehicle, while the other party's vehicle will be covered by compulsory traffic insurance and third-party liability insurance. If you are not at fault, all expenses will be covered by the other party's insurance company. If the vehicle owner knows or should have known that the vehicle has defects and these defects are one of the causes of the accident; if the owner knows or should have known that the driver does not have a valid driver's license or lacks the appropriate driving qualifications; if the owner knows or should have known that the driver is under the influence of alcohol, using controlled substances or narcotics, or suffers from a condition that impairs safe driving; or any other circumstances where the vehicle owner or manager is deemed at fault. Therefore, when lending your car to someone else, carefully consider the other party's situation—otherwise, if something happens while driving, you could be held responsible in no time.
