Insurance plans are usually seen as rigid plans which only come in yearly or half-yearly plans. While this may be true for a lot of other plans, vehicle insurance is comparatively dynamic. Depending on the customer’s needs, insurance policies can be adjusted, and most of them are willing to let you choose a plan or modify one as per your requirements.
The best example of this flexibility is short-term car insurance cover. In this article, we have detailed everything you need to know about temporary car insurance.
What is temporary car insurance?
Temporary car insurance gives you temporary cover for your car. This can be useful for you if you aren’t planning on owning a car for over a year, as that would require annual coverage, which would cost more. Thus in a situation where you only require coverage for, say, a week or one month, you can opt for cheap short term insurance for cars.
The duration of a short-term car insurance cover can be as short as a few minutes or as long as a couple of months. Most insurance agencies offer bundle insurance cover for car and home, or depending on your need, will modify the policy.
When will I need short term car insurance cover?
Temporary car insurance will be of use to you in situations where:
- Using a car for driving practice only
- Renting a car for a couple of days, such as for a road trip
- Collecting or delivering a vehicle that originally belongs to someone else
- Driving a borrowed car from friends or family
- Sharing one car among 2 or 3 drivers for some time
- Driving occasionally- in case you own a fancy car. But there are different sets of terms and conditions for such situations.
- Emergency driver to a hospital or airport
Using a car as a temporary transport, usually used as cheap cars for high school students.
What level of coverage will I receive?
Taking a short-term car insurance cover will usually give you the same amount of coverage given to someone who takes an annual coverage. Some providers may give extra perks like:
- Third-party injuries or damages
- Instant coverage
- Accident cover for the driver
- Fire insurance
- Theft insurance
This depends on the company that you are taking the insurance out from. But it is better to take insurance coverage from a company that offers additional perks.
Temporary car insurance is a good alternative to full annual coverage. Not all drivers require full coverage if they are simply the car or acting as drivers to collect and deliver the car between owners. But having an insurance policy that covers you as long as you are in the driver’s seat is necessary as per law. It mitigates the possibility of you spending thousands of dollars on repairs and damages. It will also protect you from liabilities as to the driver of the car.