Lending a car to friends or family is a common practice in Portugal, but it can have legal and financial consequences. According to Article 121 of the Road Traffic Code, only someone with a legal licence may drive a vehicle on a public road. Article 135 of the same code establishes that the driver is responsible for driving-related offences, while the holder of the vehicle registration document is responsible when it is not possible to identify who was driving.
The mandatory motor vehicle civil liability insurance covers damage caused to third parties by the vehicle's use, but it is important to distinguish between occasional lending and regular use. According to the Insurance and Pension Funds Supervisory Authority, the main driver must be communicated to the insurer at the time of contract signing and whenever there are changes. If someone starts driving regularly without the insurer being informed, contractual consequences may arise, including the possibility of contract annulment or proportional reduction of compensation.
When an offence is captured by radar and the driver is not identified, proceedings are brought against the vehicle owner under Article 171 of the Road Traffic Code. The owner may identify the actual driver within 15 working days to present a defence. If the identification is valid, proceedings are suspended and new proceedings may be opened against the named person. In on-the-spot checks, such as a traffic stop, the driver is identified on location and is directly responsible for any offences.
The consequences are more serious when a vehicle is handed over to someone without legal conditions to drive. Article 135 of the Road Traffic Code holds accountable anyone who provides a vehicle to an unlicensed person, someone under the influence of alcohol, or someone with reduced physical faculties. Driving without a legal licence may constitute a criminal offence under Decree-Law No. 2/98, and driving with a blood alcohol level of 1.2 grams per litre or higher may constitute a criminal offence under Article 292 of the Criminal Code. The insurer may claim reimbursement of amounts paid to injured third parties through the right of recourse provided for in Article 27 of Decree-Law No. 291/2007.
