What is Temporary Car Insurance? When Do You Need it?

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Do you know around 13% of drivers in the US are currently uninsured? Since 13% is a big number, I cannot help but wonder that millions of people are exposing themselves to a fine of at least $1000 when they can simply get temporary car insurance. If you didn’t know anything about this type of insurance, then this article would be quite helpful to you. 

Your kid might be going to college in another state, and the thought of removing them from your family insurance package might be very tempting. If you have already removed them, then does it mean they will drive all the way to their college without insurance? I hope you are not relying on the fact that they might not get caught. Cause even if they don’t get caught, the insurance companies will see a gap in their history, which might cause them to put your teen under the high-risk category. 

You definitely don’t want to pay those insurance companies bigger checks, and you might also not want to get fined for now having insurance for a short period. So, what’s the better option? Is there still a way out of this? Yes, definitely, and all your questions will be answered as you start scrolling. 

What is Temporary Car Insurance?

What is Temporary Car Insurance? When Do You Need it?

A temporary car insurance policy, also called short-term car insurance, is your way out when you are not insured on complete full coverage insurance. This type of policy lasts from one month to six months only. You cannot get car insurance for less than a month. So, if you wanted car insurance only for the weekends, then, no, there’s no policy like that. The minimum number of days for which you can have your car insured is one month. 

Temporary car insurance policies are also helpful because you can get insured for the time being until you have full-fledged insurance. This way you save a lot of money and also are safe from unwanted fines and tickets. 

The worst part of temporary car insurance is that not many people know about it. Think about it, if 13% of people who aren’t insured currently would know about Temporary car insurance, would they still be exposing themselves to fines? I hope not. 

Also, read 6 Significant Car Insurance Coverage Types You Need To Know About!!

When Do You Need Temporary Car Insurance?

There are many situations where you might need temporary car insurance. Suppose your car got in a collision and it is currently sent for repair. In this situation, you would obviously ask a friend for their car. Meanwhile, you can get temporary car insurance while you use their car. 

In contrast, if a friend of yours has borrowed your car, getting short-term insurance will really help them. However, these aren’t the only situations where you can have temporary car insurance. Below there are many such examples-

  • If you use rental cars often, then having temporary car insurance would be better than having a complete auto insurance policy. 
  • Suppose you want to sell your car and people take your car for test drives every day. You would still want your car to be temporarily insured.
  • Students who drive occasionally can find it really helps to have short-term car insurance since it is a lot cheaper than other policies. 
  • Suppose you are visiting the US only for a month and want to bring your car with you, then having temporary car insurance would be highly recommended to you. It will help you drive legally across all the states in the US. 

What Companies Provide Temporary Car Insurance?

What is Temporary Car Insurance? When Do You Need it?

There are many companies that provide monthly temporary car insurance policies. Although their prices differ considering various criteria and parameters. Also, the price of temporary insurance by the same company might differ in states. So, it’s very important for you to do thorough research before landing on car insurance. 

Among all the car insurance companies, USH&C, Novo, Acuity, Mile Auto, TSC Direct, Anchor, Kemper, Amigo USA, and Foremost Signature provide the cheapest rates for temporary car insurance. 

Also, read Best Car Insurance for Males Under 25 & How to Save Money on Insurance

Comparison of Temporary Car Insurance (Company-Wise)

Below, I have mentioned the names of insurance companies that provide the cheapest temporary car insurance. 

S. no.Insurance CompanyMonthly Temporary Car Insurance Cost
1Mile Auto$148
2Foremost Signature$148
3Acuity$144
4TSC Direct$138
5Anchor$137
6First Chicago$135
7Novo$135
8Kemper$134
9Amigo USA$116
10USH&C$110

I hope this article helped you to understand what is temporary car insurance and in which situations can you make the most of it. Also, you will see a drastic difference in the cost of insurance in Idaho, New Hampshire, Maine, North Carolina, and Hawaii. Check out the companies and do your research before landing short-term car insurance. USH&C has the cheapest temporary car insurance in the USA. Comment below for all your queries. 

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