Legal Question in Insurance Law in Michigan

Driving relative's car

First off, your questions about coverage should not prevent you from notifying your insurance carrier, as well as the insurer who did have the car covered. Don't try to hide any of the facts, though; be completely honest about the situation.

It's not clear whether you're worried about damage to this car, other cars, or liability if anyone was hurt.

Your own insurance typically would cover you for liability to others, when you're driving another car (with the owner's permission), under "non-owned auto" coverage. You need to review the language of the policy, with the help of your own lawyer, if your company disclaims coverage.

The usual issue in this situation arises from the definition of "non-owned auto." The fine print of this clause usually excludes vehicles which are available for "frequent and regular use" of the insured. So when you report this accident, emphasis how it was unusual circumstances which allowed you to use this car and after your wife sold it, it wouldn't be available to you.

The above does not constitute legal opinion and is offered for the purposes of discussion only. The law differs in every jurisdiction, and you should not rely on any opinion except that of an attorney you have retained, who has a professional duty to advise you after being fully informed of all the pertinent facts and who is familiar with the applicable law.