Rhode Island Insurance Adjuster Exam

Does insurance coverage typically follow the vehicle or the driver?

1. It follows the driver

2. It follows the vehicle

3. It follows the insurance policy holder

4. It varies based on the policy

The correct answer is: It follows the vehicle

Insurance coverage typically follows the vehicle, meaning that the policy associated with the insured vehicle will primarily dictate coverage in the event of an accident. This principle is rooted in how auto insurance policies are structured; they are generally written to cover the vehicle itself rather than solely the individual who is driving it at the time. For instance, if a person with permission drives a vehicle they do not own, the insurance policy on that vehicle will provide primary coverage for any damages that occur, provided the driver is listed as an authorized user. This ensures that there is a financial safety net for the owner of the vehicle and any potential liabilities that arise from its use. While it's true that certain insurance policies may have stipulations that connect coverage to the driver in specific scenarios, the foundational rule in most cases is that the coverage is tied to the vehicle itself.