Car insurance typically does cover accidents that occur on private property, though coverage details depend on your specific policy type and the circumstances of the accident. While most drivers understand their insurance applies on public roads, many are surprised to learn that standard auto insurance policies generally extend to incidents in private driveways, parking lots, and other non-public areas—but with important limitations and considerations that could affect your claim.
At Callahan & Blaine, PC, our catastrophic personal injury attorneys have extensive experience handling complex automobile accident cases throughout California. With over 40 years of experience representing clients in complex litigation matters, our team of 30 highly experienced trial lawyers understands the nuances of insurance coverage issues, including those involving accidents on private property.
How Insurance Coverage Works on Private Property
When an accident occurs on private property, such as a parking lot, driveway, or private road, your insurance coverage still applies—but the claims process may differ from accidents on public roads:
Liability Coverage
If you’re at fault for an accident on private property, your liability insurance should cover damage to another person’s vehicle and any injuries they sustain. However, determining fault can be more challenging on private property for several reasons:
- There may not be clearly defined traffic laws as on public roads
- Fewer witnesses are typically present to verify what happened
- Security camera footage may be limited or unavailable
- Police may not file an official accident report for private property incidents
Despite these challenges, your insurance company will still investigate the claim to determine liability and appropriate coverage.
Collision Coverage
If you have collision coverage on your policy, it should cover damage to your vehicle from an accident on private property, regardless of who was at fault. This applies whether you collided with another vehicle or a stationary object like a parking barrier, fence, or garage door.
However, be aware that your deductible still applies, and making a claim may affect your premium rates at renewal time, just as with public road accidents.
Comprehensive Coverage
Comprehensive coverage protects against non-collision incidents that might occur on private property, such as theft of your vehicle, vandalism, falling objects, fire, or weather-related damage. If your vehicle is damaged while parked on private property due to any of these covered perils, your comprehensive coverage should apply, subject to your deductible.
Common Private Property Accident Scenarios
Private property accidents often involve unique circumstances that can affect how insurance companies handle claims:
Parking Lot Incidents
Parking lots are common sites for private property accidents. These typically involve low-speed collisions when vehicles back out simultaneously, drivers compete for the same parking space, or a driver fails to yield at a parking lot intersection. In these scenarios, fault is determined based on the specific circumstances and which driver had the right-of-way according to standard driving practices.
Driveway Accidents
Home driveways present another common location for private property accidents. These may involve backing into another vehicle, hitting a neighbor’s property, or collisions with delivery vehicles. Your auto insurance generally covers these incidents, though homeowners insurance may also come into play depending on the specifics of the accident.
Special Considerations for Private Property Claims
When dealing with insurance claims for accidents on private property, keep these important factors in mind:
Limited Police Involvement
Police officers may not respond to non-injury accidents on private property, or if they do respond, they might not file an official accident report. This can complicate the claims process, as insurance adjusters often rely on police reports to determine fault. Be sure to document the scene thoroughly yourself if this is the case.
Property Owner Liability
In some cases, the owner of the private property might share liability for the accident if negligent maintenance or design contributed to the incident. For example, if poorly designed parking lot traffic flow, inadequate lighting, or unmarked hazards played a role in causing the accident, the property owner might have some responsibility.
Contact Callahan & Blaine for Legal Assistance
If you’ve been involved in an accident on private property and are facing challenges with your insurance claim, seeking legal counsel may help protect your rights. Insurance companies often handle private property claims differently than public road accidents, and having experienced legal representation can make a significant difference.
At Callahan & Blaine, PC, our catastrophic personal injury attorneys have secured numerous multi-million dollar verdicts and settlements for our clients, including the largest personal injury settlement in United States history. Our deep understanding of insurance law and litigation strategy enables us to advocate for clients dealing with complex insurance coverage issues. Contact us today at (714) 241-4444 or through our contact form to discuss your case.
