Unauthorized Use of Car
In most cases, insurance companies will refuse to pay your claim if someone used your car without your knowledge and approval and is involved in an accident. Should this happen you are required to lay a criminal charge against this person with the police within 48 hours of the accident. You may also not withdraw the charge.
Make sure that you understand the conditions and rules of your specific insurance policy. Some companies may insist that you nominate any regular drivers of your car in your policy. Such designated drivers are called named drivers and will enjoy the same cover as the main insured person. In most cases, as long as you have authorized the person to use your car, the insurance company will accept liability for accident claims.
Above all, never allow anyone without a valid car license to drive your car. If you give permission to your teenager to drive your car, the car is in effect not covered by any insurance and no claims will be paid out.