As the name indicates, temporary car insurance refers to a short-term insurance policy. It enables you to get car insurance for a specific period, which can be two days, one week, or one month. If you need coverage for a shorter period, you can consider the option of temporary insurance. For instance, you may need to cover yourself for one month instead of six or twelve months.
Most car insurance companies offer policy options based on six months and twelve months term lengths. An insurance company makes efforts to keep their clients for a longer period. A driver who wants to carry an insurance policy for a short period is a less-than-ideal customer for an insurance provider.
It is illegal to drive a car without car insurance. Driving without an insurance policy can result in hefty fines, a ban and even a prison sentence. It becomes even more difficult for a person to deal with an unfortunate situation like a car accident in which he or she is declared the at-fault driver.
When do you need temporary car insurance?
There are various situations where it makes a perfect sense to purchase a short-term insurance policy. These are:
Renting a car without having a standard insurance policy
Borrowing a car from your friend for a few days without having a coverage policy of
your own
Going on a road trip with relatives and driving a friend’s car
Your car is at the repair shop, and you need one for your daily chores
A friend has borrowed your car, and you need to drive another car
You are driving a car in a different state and don’t have a home-state license
You purchased a car for a short period and plan to sell it soon
What is covered by temporary car insurance?
Different car insurance companies that offer temporary coverage have different policies, rules, and regulations. So, the coverage options depend on the kind of temporary insurance you decide to buy. However, most insurance companies will cover liability, collision coverage, comprehensive coverage, medical payments, and towing, underinsured and uninsured drivers.
How much does temporary car insurance cost?
Many factors determine the cost of a temporary insurance policy, such as the type of car you want to insure, how you will use it, your insurance record or history, and the period for which you need short-term insurance.
In general, the cost of temporary insurance varies greatly depending on where you purchase it. For instance, if you buy temporary car insurance from a rental company, it will cost you more than the one you purchase from a regular insurance provider or agency.
Research shows that temporary insurance is a bit pricy than the standard one, and can cost up to £150 a day. Because most insurance companies do not offer temporary coverage for rental cars, you can save money by purchasing a non-owner policy.
It is essential to shop around and find a reliable insurance company that offers temporary coverage for an affordable price – the one that comes within your budget. That way, you can make an informed decision and buy temporary insurance that will benefit you in terms of coverage and price. Good Luck!
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