People, usually, tend to insure their vehicles annually. It’s a standard procedure that many Short-Term Car insurance companies offer right away. However, life can be unpredictable and you may end up driving someone else’s car, borrowing it, renting it or adding another driver to your policy. In these instances, you need an insurance that lasts for a shorter period of time.
Although it can sometimes cost more, this type of insurance keeps you protected for the short time the vehicle is with you.
That way you or another driver can enter traffic without worrying about the consequences. If you are interested in getting one for you or someone you care about, you’ve come to the right place. Here we’ll cover everything from the basics to the way this works and help you make a decision whether you should buy it.
The Basic Details About Short-Term Car Insurance
Unlike the other policies that stretch across a minimum of six months to twelve months, the short-term one can last for up to a month and even for a day if required. You should only tell the number of days you like to be covered for.
This comes in very handy to those that temporarily enter theirs or someone else’s car to finish something and then intend to return it or get another one. Since the American law demands the driver to be at least minimally insured as soon as they go inside a vehicle, it’s understandable why people get it.
Not to mention that any damage or injury that may occur as a result of a car crash, a natural catastrophe and any other reason really is covered completely.
The only thing that many people feel doubts about is the fact that it is possible for this type of insurance to cost more than the regular policy. Moreover, the price is made based on the automobile’s model as well as the place you’ll drive in among other things. But, at the end of the day, the driver’s safety should always come first.
The Way Short-Term Car Insurance Works
The two sides can arrange this insurance. The driver can add someone else to their policy for a short period of time or be added by someone to a policy that will allow them to drive the car.
Therefore, it’s asked of you to give away information like:
- Your full name, birth date, and professional occupation
- Specifics of the automobile you’ll be driving
- Your history as a driver with all of the convictions and claims, if any
- How many months the insurance will last
As soon as the procedure is over and the policy is completed, the driver is allowed to use the car during the period that’s approved. Not a day or hour more is allowed. Also, there is an option for third parties, yet this insurance has a tendency of being generally comprehensible.
Have in mind that in no case should you consider the short-term insurance as a replacement for the other policies that are obtained for a period of one year or more. In the situation of driving a car regularly, you should always opt for purchasing a long-term policy.
Types of Cars That Can Fall Under Short-Term Car Insurance
This is largely dependent on the details surrounding the car such as its year of production, model, mileage, modifications, and others similar to those. For this reason, you should explore the terms of the insurance and see all the exclusions so that you know whether you are eligible to get it or not.
Connected to this, some of the most common reasons for exclusion are the modifications of cars. Those that are modified and no longer have the exact specifications as when they left the factory aren’t accepted for this Automobile insurance. Another issue is the value of the automobile because many companies have set a maximum when it comes to insuring them for a short time. Aside from this, cars that have been imported from somewhere aren’t eligible for this insurance, either.
Because of this, in order to be certain that it’s for you, you should be aware of the limitations it brings and find a way to overcome them if possible. If not, there’s always the possibility to search for another type of insurance.
When You Should Purchase a Short-Term Car Insurance
Actually, there are some situations that dictate the need for getting this car insurance. They revolve around:
- Buying a car, which you intend to sell after a short time
- Borrowing a car from a friend and planning to drive it regularly because of which you should be added to the policy and get this insurance
- Renting a car without being willing to pay higher fees for insurance
Those that want to evade the short-term car insurance have a few possibilities, as well. They are:
- Receiving a coverage from the rental company that their car is rented from
- Renting an automobile with a credit card that offers a rental cars’ coverage
- Occasionally utilizing someone else’s car, for which you’ll probably be covered by your regular policy
How to Get a Short-Term Car Insurance
In order to be sure that you are getting a reasonable rate for the insurance coverage, you should check the offers of more than one provider. You can find a bunch of the most reputable companies working in this field online and contact them before making your final decision. This comes as an understandable thing, especially since there are truly many factors that play a key role in forming the fees.
An important aspect here is landing on the website of the right company. The ones that have nothing to hide will tell you openly what you are paying for and how much you should pay, leaving you with the calculations of your budget afterwards. Also, make sure you look for signs that the company is legit and has other clients. For this purpose, you can consult the page with testimonials.
Also, some vital indicators to look out for in the short-term car insurance policy are collision coverage, liability coverage, coverage of the medical payment for the passengers in your car as well as coverage for underinsured and uninsured motorists.
Final Words About Getting a Short-Term Car Insurance
All things considered, this type of car insurance is needed in various situations, especially in those that involve a rented, borrowed or a new car that will be driven only for a short period of time by you or someone else. Eventually, it’s on you to say the final word.
After all of this, do you think you need short-term car insurance? Will you get one or you already bought it? Share your thoughts and opinions on this matter with us!