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Temporary Car Insurance Coverage

Temporary Car Insurance

To be a responsible and legal driver you need to buy temporary car insurance during any lapse in standard coverage. Temporary auto insurance coverage is one of those important things to have that few people even know about. You could be in a situation now where you should have a temporary car insurance policy and not even realize it.

So when might a driver need this kind of insurance policy?

  • You have a car in the shop for repair and need to borrow a friend’s vehicle
  • You are trying to buy a new or used car but cannot find one. In the meantime you are using someone’s other than one registered in your name
  • If someone uses your car and you want to make sure they are covered in addition to their own temporary car insurance policy
  • You could be helping a friend move a car or multiple cars but need to be sure you are covered for this
  • For rental cars, it could be a good idea to buy temporary car insurance
  • If you use a moving van and want to make sure you are insured behind the wheel this could be good additional coverage
  • If you are selling a car you don’t drive but want it insured for other people test driving it this could be a good option
  • If you drive for work and need coverage until you can verify the company policy coverage fully includes you as a driver
  • Even if you are between insurance policies or are storing a vehicle and driving it very little if at all but want to make sure your insurance doesn’t lapse then temporary auto insurance could be right for you

There are names for temporary car insurance and even other forms of temporary coverage. Non-owners is a popular choice for those who will be using another driver’s vehicle on a more regular basis. Rental car insurance is also a way to go for short term, long term or regular rental car usage. The point is there is never a reason to be on the road without the proper car insurance policy to keep you legal.

Should You Buy Temporary Car Insurance?

The bottom line is that you should never be without some kind of auto insurance to keep you legal as well as financially protected. Why is temporary auto insurance so important?

  • Every state but New Hampshire (they require personal responsibility) requires drivers to carry auto insurance to be on the road legally. If you are caught driving without auto insurance you could be facing hefty fines and points against your driver’s license. Not to mention that because of this when you go to get an insurance policy your rates will be higher because of the legal infractions.
  • No driver should allow a lapse in their insurance coverage of more than 30 days. This kind of lapse will cause your rates to be much higher when you do go to finally get a regular insurance policy, even a basic liability one. If you buy temporary auto insurance you can make sure you are protected against this kind of problem.
  • If you have an accident while driving without some kind of car insurance the legal ramifications could be unimaginable. If you even buy temporary car insurance, you can protect yourself against a large percentage of the car repair or replacement costs not to mention the medical expenses. Medical bills alone can include prolonged hospital stays, surgery, expensive prescriptions and follow up after care such as physical therapy. This could be something you would have to pay for yourself, another driver or both out of your own pocket if you lack insurance coverage.

Remember even if you think you are covered by your friend, spouse or employer’s policy do not wait to find out the hard way you are not. In the event of an accident if you are driving without insurance you will be held liable. A large percentage of drivers each year get left picking up the pieces in the aftermath all because they thought or were told they were covered as a driver. Unfortunately there is no way to fix this situation after tragedy has struck.

What Else You Should Know

If you think you might buy temporary auto insurance coverage there are a few other things you should know. For example:

  • Commonly temporary insurance policies are taken out for anywhere from one to 28 days. A very popular option is the 7 day car insurance policy. You can extend this longer. However long you need a temporary policy you should have one just to make sure you are an insured motorist.
  • There are different options for your temporary policy. Make sure you get the one that works best for you not just the cheapest or the one an insurance agent decides you should have.
  • Keep in mind if you are driving a car of higher value you should never settle for too basic an insurance policy. If you do this, you are going to be left paying the difference out of your own pocket anyway.
  • Check for coverage for everything from collision with another car to one with a structure or even an animal. Make sure you are covered regardless of what happens to you behind the wheel.
  • With that in mind, make sure you also have protection from things like theft, fire, storms and Acts of God. Too many drivers assume this is part of their standard coverage and it is not. Even vandalism can be covered in a temporary auto insurance policy but only if you make sure it is included.
  • You may even want or need to have a policy that could offer coverage in the event of a breakdown. This is especially important if you are using or sharing another driver’s car. Try to get a policy that will even cover your rental car.

All it takes is your zip code and you could find out the cheapest way to buy temporary car insurance.

Temporary Car Insurance

Benefits of Temporary Car Insurance

Temporary car insurance is fast, convenient and simple to buy. All our policies are underwritten by Aviva on a comprehensive basis, include business use cover and can start within 15 minutes of making a booking when you require car insurance for 1 hour, day, week or month.

We offer a range of optional extras such as comprehensive European cover, additional drivers and daily breakdown for all temp car insurance.

Our policies are standalone, so if you do have a claim there will be no impact on the No Claims Discount (NCD) on any annual policy. What’s more, all our policies for temporary car insurance in the UK come with free legal expenses cover, to protect your interests in the event of a non-fault incident.

Furthermore, we update the Motor Insurance Database (MID) 4 times a day, so you’re unlikely to be stopped by the police on suspicion of driving without insurance.

Uses of Dayinsure

Dayinsure is a great option when annual insurance doesn’t give you the flexibility you need, whether you require car insurance for a day or month. It proves handy when:

  1. Borrowing a car
    • if you are either buying or selling a car and want to arrange a test drive.
    • or if you need a bigger car for a particular journey.
  2. Adding a temporary additional driver to your car
    • it’s a common misconception that all annual insurance policies cover driving other cars.
    • many don’t provide any of this cover, and those that do often restrict to third party and the policyholder only.
  3. Making a Business trip
    • another misconception is that annual insurance policies that cover commuting will allow business trips to any location – they won’t!
    • commuting use only covers journeys to or from your regular place of work – potentially excluding cover if you visit a client, attend a training course or help out at a local branch.
    • our temporary car insurance policies provide full business use (excluding the carriage of goods or passengers for hire or reward).
  4. Any other situation where you need one day car insurance, such as:
    • where the annual policyholder gets taken ill and you need to take over the driving.
    • needing to share driving on a long journey.
    • taking a SORN vehicle for an MOT.
    • driving a bigger vehicle to transport a piece of furniture.
    • transporting friends to an event.
    • where there’s a gap between one annual policy finishing and another one starting.

Who is Eligible?

Our temp car insurance can cover most drivers aged between 18 and 75 (subject to vehicle and underwriting criteria). From one day to one month car insurance, we are able to insure the majority of UK registered vehicles.

As well as UK licences, we can cover customers who hold a full EU, EEA, Australian, New Zealand, South African or Swiss driving licence and have done so for at least six months (reduced to three months, if aged over 25).

So, if you’re planning on coming to the UK or expecting visitors, temporary car insurance in the UK from Dayinsure could be a great option. Rather than hire a car for the trip, it might be easier (and cheaper!) to borrow cars throughout the duration of the visit when you need anything from one day to one month car insurance. Buy our insurance online as and when required.

What You’ll Need to Buy Short Term Car Insurance

For a temporary car insurance quote, you will need:

  • your name, address, DOB, email and occupation.
  • the registration number of the car that you want to drive.
  • For non-UK licence holders, a passport number is required (NI and Isle of Man are also required).

We’ll display the car insurance price, then you decide:

  • the duration (from 1 hour to 30 days).
  • when you want the cover to start.
  • whether you want any of our add-on options (such as breakdown or European cover).

Then to purchase your temp car insurance policy you’ll need:

  • your driving licence number.
  • Payment details (debit, credit card or PayPal).

That’s it – the whole journey takes a couple of minutes, and you could be behind the wheel in 15 minutes.

Temporary car insurance: How to get short-term coverage

You might find yourself in a situation where you need temporary car insurance, but the problem is that very few insurers offer short-term car insurance policies. Instead, you typically must obtain a regular car insurance policy for the short period of time you need it, and then cancel it when that time is up. It can be a tricky process, so it’s wise to know what steps to take. In some cases, you may not even need temporary car insurance.

Most car insurance policies extend coverage to any driver who is given permission to operate your vehicle (permissive drivers).

That means a friend from across the street or relative from out of town can borrow your car and be covered by your policy without the need for temporary car insurance. Also, if you have a child with a learner’s permit, he is either covered automatically or easily can be by being added to the policy as a driver.

A lack of demand for short-term car insurance, paired with auto insurers wanting drivers to stick around and pay premiums every six or 12 months, makes temporary car insurance hard to find in the U.S. The few companies that do offer specialized short-term policies are on the costly side and normally make you pay upfront for the whole term.

The good news is that many situations you may think call for temporary insurance really don’t. Here are some scenarios where short-term insurance appears to be needed, and what you can do instead to fulfill your needs.

If you buy a car from out of state and need to drive it home

Don’t bother with looking for temporary insurance, instead call your current auto insurer before you go to pick up the car. You’ll likely find that you have automatic coverage for the vehicle for anywhere from 7 to 30 days. It will depend upon your state laws, and your company’s guidelines.

If you’re replacing another car already on your policy, there is a higher chance that the car will be automatically covered than if you’re adding another vehicle to your household.

If you’re not automatically covered, or will be out-of-state longer than the automatic coverage lasts, ask your insurer what it will take to add the car once you are in possession of it. Insurers typically want a bill of sale and vehicle identification number (VIN) to start coverage on a newly-bought vehicle.

If you don’t have a car insurance policy, then shop around before leaving to pick up the car. You can select the policy you want and be ready to start the policy once you have the VIN. But if you’re already out of state when you realize you need car insurance and don’t have it, you can buy a policy just to get the car home.

Buying a six-month policy will give you “temporary coverage” to get you home. Once home, you should take the time to shop for car insurance — conduct a car insurance comparison and find the best rates possible.

If the cheapest rates are with a different insurer, cancel your current hastily-purchased policy and switch to the new insurer. You may have to pay a cancellation fee and show that you have new coverage in place to cancel out your first policy, but if you’re saving a decent amount it will be worth it.

Also, keep in mind that driving a car home that you purchased out of state may require you to you to obtain an interstate in-transit permit (registration) in the state where you bought the car.

For example, if you buy a car in New York to transport back to Texas, New York requires you to obtain an interstate in-transit permit. It allows you to transport the vehicle to another state to register the car. Once in Texas, you have 30 days to pass inspection and title and register the car.

It pays to do your homework before buying a car out of state, so you don’t come up short on your insurance or registration needs for the drive home.

If you have a seasonal-use vehicle that is stored for a portion of the year

Your commuter car needs year-round coverage on it, but if you have a car you only drive occasionally or seasonally — like a convertible that you only drive in the summertime because of the climate where you live — you maybe want a shortened insurance policy.

The first step is to talk to your current car insurance company to see what options it has for your situation.

Your car insurance company likely will allow you to place the car on your policy for the times that you need it and remove it when it is stored. This means adding it and being charged for the times that you drive it and then canceling coverage when it is not in use.

If your insurer doesn’t offer this, shop around for one that does. It’s simpler to have one auto insurance provider for all of your vehicles, but you also have to do what makes the most sense for your needs — which sometimes is to have separate insurers.

Complications from this part-time insurance scenario is that if you take liability car insurance coverage off of your stored vehicle to save, most state laws require you to turn in your plates and registration and then re-register and tag your car when you’re ready to drive it again. If you fail to insure a registered vehicle you may be penalized by the state.

If you take liability coverage off of a stored vehicle, it’s a smart move to keep comprehensive coverage on it. Generally this is relatively cheap and will protect your vehicle if it’s stolen, vandalized or damaged in some act of nature, such as a tornado.

If you take a car out of state for a couple of months

If you stay at an out-of-state home for an extended time during the summer or one of your college-age kids takes a household vehicle for a month internship out-of-state, you don’t need to search for short-term insurance; instead you need to study your current policy.

Most standard car insurance policies will extend your coverage to other states through a broadening clause. This means if the state-minimum car insurance requirements in a state you are traveling in or staying in are higher than your home state your insurance will automatically raise up to conform to that state’s laws.

Not all policies have this perk, so if you find yours does not, see about bumping up your limits before you go, if the state you’re staying in has higher limits than what you currently have.

Your insurer doesn’t mind you temporary staying in another state, but if you decide to make it permanent or long-term (your son’s internship turns into a job), then you’ll have to change over your insurance to that state. Most states also require you register and insure a car there if you remain there long enough. For instance, if your vehicle is in Florida for 90 days out of the year, even nonconsecutive, you must place Florida insurance on it.

If you rent a U-Haul to move

While your personal auto insurance policy coverages – and even credit card insurance benefits – normally extend to rental cars (so you don’t need to buy temporary insurance for a rental car), they don’t cover commercial vehicles or rented trucks, such as a U-Haul moving truck.

A moving truck rental agreement will usually include state-required liability coverages, the truck isn’t covered unless you buy coverage from the truck rental counter. This is temporary auto insurance, and necessary if you want to make certain the big, boxy truck you’re not used to driving is covered for damage you may cause to it.

Read Rental trucks: You aren’t covered for details on what temporary insurance coverage are available for rented moving trucks.

What is short term car insurance coverage?

This concept is new for India, but it is quite popular in the US and UK. As a part of these plans, the individuals can purchase temporary car insurance for one to 28 days. Although the features and benefits are similar to the general car insurance, it is the duration of the policy that makes it unique. In this concept, it is necessary to get permission from car owner for getting temporary car insurance.

When to buy temporary car insurance?

There are a lot of instances and situations when temporary car insurance can be used. Some of these include:

  • For those using luxury or vintage car as their second car, this type of insurance can become handy. These individuals can purchase short term insurance for the time they use second car.
  • Individuals, who are learning to drive, can use this insurance during their driving lessons. In fact, they require this insurance more than others, as chances of accidents are a bit higher when one is learning to drive.
  • If someone is a young driver, chances are she/he is not having his/her own car. These young drivers can use the cars of friends or relatives by buying a short term policy.
  • An individual, who has purchased a new car but still is confused on which policy to purchase, can rely on short term insurance. It gives him/her a time to choose the best car insurance policy available in the market.
  • These policies can also be purchased when a policy has been expired, and individual plans to buy policy from another insurer.

Benefits and features

The already existing policies in various countries offer some common benefits, which include:

  • Legal liability for third-party damage, which includes bodily injury or death of another individual
  • Legal liability for damage to another individual’s property is also included
  • Several policies also offer cover for dents, scratches, alloy wheels and misfuelling
  • Immediate cover is offered with 24×7 support
  • Personal accident cover is also a part of most policies
  • Damage to the car due to theft, vandalism, fire or natural calamity
  • Approved repair service
  • Cheaper version of car insurance

These benefits and features vary from insurer to insurer.

Types of Temporary Car Insurance

Temporary car insurance is a broader term. There are numerous types of temporary insurance based on the situations and needs.

Non-owner’s insurance

As the name suggests, it is a type of policy for individuals who don’t own a car. These individuals can make the use of this insurance while borrowing the cars from others. Therefore, the car drivers need not fear of damages due to an accident if they are using their friend’s, neighbour’s or relative’s car.

Rental car insurance

This is also a policy for those who don’t have a car. In this concept, rental companies offer insurance or additional coverage. The coverage includes personal accident insurance, liability, loss-damage waiver, etc. A lot of individuals prefer buying these policies directly from insurance companies rather than rental service providers.

GAP insurance

Also known as guaranteed auto protection, gap insurance covers the difference between the depreciated value of a vehicle and what an individual owes on the auto loan in case the repairing cost of a car is more than the worth of car.

Temporary car insurance in India

Currently, no insurance company is offering temporary car insurance in India. It is also a possibility that companies believe that Indian consumers are not ready for this type of concept.

If a company starts providing short term insurance, it can enjoy huge profits due to a monopoly in this domain.

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