Friend crashed my car - what now?

Letting a friend borrow your car might seem harmless—until they’re involved in a crash. So what happens next? Who pays for the damage? Are you still covered by your insurance?

This guide explains what to do if a friend crashes your car, who’s responsible for the costs, and how to deal with your insurer. Learn how fault is determined, what your rights are, and how to get back on the road sooner.

What to do immediately after someone crashes your car

If a friend crashes your car, the first step is to stay calm and gather the key facts. You'll need to find out what happened, who was involved, and whether your car can still be driven. This information will be essential when dealing with your insurer.

Here’s what to do straight away:

• Ask your friend to collect details – Get them to take clear photos of the accident scene, vehicle damage, licence plates, and any injuries.
• Exchange information - Make sure they get the other driver's full name, contact number, licence number, and insurance provider.
• Check if the car needs towing – If the car is undrivable, arrange a tow with Sheen as soon as possible.
• Record your friend's licence details – This may be needed for the insurance claim.
• Confirm if police attended – A police report can help with fault determination.

Tip: The more evidence you can collect at the scene, the smoother the claims process.

Will my insurance cover damage caused by my friend?

Car accidents can lead to significant financial implications. In fact, between September 2023 and September 2024, Australian insurers paid out a total of $11.565 billion in car insurance claims, averaging $638 per policy. This underscores the importance of understanding your insurance coverage when allowing others to drive your vehicle.

Whether you're covered depends on fault, policy type, and whether your friend was a listed driver on your car insurance. Here’s how it usually plays out:

If your friend was not at fault:

• You may be able to make a claim against the other driver’s insurance.
• If the at-fault driver is uninsured, you may need to claim through your insurer (if you have comprehensive cover).

If your friend was at fault:

• Your insurer may only cover the damage if your friend is a listed driver on the policy.
• Some policies have exclusions for unlisted drivers, significantly younger or inexperienced drivers.
• In this case, you may need to recover costs directly from your friend.

Check your PDS or call your insurer to understand whether you're covered for additional drivers or if your policy has any exclusions. This could save you thousands in out-of-pocket repair bills.

How do I know if my insurance covers my friend as a driver?

Not all car insurance policies automatically cover someone else driving your car, especially if that person isn’t listed on your policy. Whether your friend is covered depends on their age, driving history, and your insurer’s terms.

Key factors that affect coverage:

• Listed vs unlisted drivers – Most insurers require additional drivers to be listed to be fully covered. If your friend isn’t listed, you may have to pay a higher excess, or the claim may be rejected entirely.
• Age of the driver – Many insurers don’t cover drivers under 25, or may charge a young driver's excess.
• Driving under the influence – If your friend was intoxicated, most policies will void coverage regardless of fault.

Best practice: Always check your insurer’s policy before handing over the keys. A quick call can clarify whether your friend is covered or if you need to add them temporarily.

How to approach your friend for the costs of repairs to your car

If your friend caused the crash and your insurance won’t cover the damage, they may need to pay for the repairs out of pocket. Even if your policy does provide cover, you might still want to ask them to contribute to the excess or any increased premium.

Tips for handling the conversation:

• Stay calm and factual – Avoid blame and focus on the practical next steps.
• Get a repair quote first – This helps your friend understand the cost upfront. You can get a smash repair quote from Sheen to support the conversation.
• Discuss insurance impact – Let your friend know if your premium may go up due to the claim.
• Split costs if needed – If it’s a grey area, consider sharing some of the expense.

Note: If your friend refuses to pay and the cost is significant, you may want to seek legal advice — especially if negligence is involved.

Frequently asked questions about car accidents and borrowed vehicles

Can I claim insurance if someone else crashes my car?

Yes — but only if your policy allows it. Some insurers require additional drivers to be listed on the policy, and may refuse the claim or charge a higher excess if they’re not.

Who pays for damage if I let someone else drive my car?

It depends on who’s at fault, your policy terms, and whether the driver is covered. If your insurance doesn’t apply, your friend may be personally liable for repair costs.

Will my insurance premium increase if I make a claim?

Most likely, yes. Even if you're not at fault, any claim can lead to higher premiums in the future. It’s worth discussing this with your insurer before proceeding.

What if the person driving my car was unlicensed or intoxicated?

In most cases, your insurance won’t cover any damage if the driver was unlicensed, under the influence, or driving illegally. You may need to recover repair costs directly from them.

Get a quote on quality smash repairs today

Whether your friend was at fault or not, we’re here to help. At Sheen, we offer fast, professional smash repair quotes so you know exactly where you stand — and what it’ll cost.

Our expert team will assess the damage and restore your vehicle to pre-accident condition using manufacturer-approved parts and repair techniques.

Here’s how we can help:

• Get a detailed repair quote quickly
• Liaise with insurance providers on your behalf
• Arrange a replacement vehicle so you’re never stuck
• Provide towing if the car isn’t drivable

Get your smash repair quote today and take the first step toward getting back on the road.

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