Temporary Car Insurance

Today, we’re talking about temporary car insurance. The most important thing for you to know is that temporary car insurance isn’t really a thing. Reputable insurers only sell policies in 6 or 12 month increments, and those that advertise temporary or single-day insurance should probably not be trusted. There are still some ways to get short-term coverage, though, and we’ll go through those. 

First, if you own the car you plan to drive, you’ll need a standard insurance policy.  Although most insurers sell policies in 6 or 12 month increments, you can always cancel your coverage mid-plan if you don’t need it for that long. And by paying monthly, you won’t have to worry about paying for a longer policy up front. 

Second, consider non-owner insurance. If you plan to drive a rented or borrowed car, you don’t own a car yourself, and you don’t live with someone who owns a car, a non-owner insurance policy is perfect and often costs less than normal insurance plans. 

Third, look into pay-per-mile insurance. Some insurance companies offer pay-per-mile insurance,  where you pay a low base rate for coverage and then a small fee for every mile driven. It’s great for people who work from home, students, and retirees who don’t drive often. 

Fourth, if you don’t have a standard insurance policy and plan to use a rental car temporarily, consider getting rental car insurance instead. Although you can usually buy it directly through the rental car companies, there are third-party insurance companies that offer it, so be sure to look into them, too. 

Fifth, take advantage of permissive use and use your friends' cars when you can. Most insurance policies allow the insured car to be driven occasionally by someone not named on the policy. If you’re only briefly using a friend's car, temporary insurance isn’t even necessary. I hope you enjoyed this session on everything you need to know about Temporary Car Insurance. So always be sure to contact a professional before making any financial decisions.