Temporary Auto Insurance: Month-Long Coverage

While it is possible to get auto insurance for a month, it is not common for major insurance companies to offer policies shorter than six months. Temporary car insurance is rare, and you are more likely to find policies that are six or 12 months long, with monthly payment schedules. However, you can cancel your car insurance policy at any time, so you could set up a new policy and then cancel it after the first month. It is important to note that some insurance providers charge cancellation fees, so be sure to check the terms of your policy before proceeding.

Temporary auto insurance options for non-car owners

Temporary car insurance is not offered by major insurers, but there are several options for non-car owners who need to drive temporarily. Here are some alternatives to consider:

Non-Owner Insurance

Non-owner insurance is ideal for those who drive often but don't own a vehicle. It is available from major companies in six-month or yearly increments and is generally cheaper than standard car insurance. This type of insurance provides liability coverage for injuries and property damage if you are at fault in an accident. Some non-owner insurance plans also offer extra coverages like medical payments, personal injury protection, and uninsured motorist coverage.

Rental Car Insurance

If you are renting a car, you can get temporary coverage from the rental company. This option tends to be more expensive but offers perks like low or no deductible. If you have an insured vehicle, check with your insurance provider to see if your coverage extends to rental cars. You can also check with your credit card company, as many offer rental car coverage perks.

Being Added to an Existing Policy

If you are driving a friend or family member's car with their permission, you are typically covered under their policy. However, if you plan to drive their car regularly, you may need to be added to their insurance policy temporarily. Keep in mind that if you get into an accident, there will be a deductible to pay, and their premium could increase.

Usage-Based Insurance

Usage-based insurance, also known as telematics insurance, tracks factors such as mileage, driving habits, or both, and allows you to pay for insurance based on those factors. Examples include Progressive's Snapshot, State Farm's Drive Safe & Save, and Metromile's pay-per-mile program. This type of insurance is suitable for those who drive infrequently.

Pay-Per-Mile Insurance

If you own a car but only drive it occasionally, you can enrol in a pay-per-mile insurance plan. This option rewards drivers who don't drive much with more affordable car insurance rates.

Distant Student Discounts

If you are a college student leaving for school and won't be using your car, most companies offer discounts on your family insurance plan if you leave the car at home and go to school more than 100 miles away.

Temporary insurance for car owners

Temporary car insurance is not widely available, and most major insurance companies do not offer policies shorter than six months. However, you can turn a traditional car insurance policy into a temporary one by cancelling it before the end of the term. Some insurers may charge a cancellation fee, so it's important to check the terms and conditions of your policy before signing up.

If you own a car and need coverage for a period shorter than six months, you can buy a six-month policy and cancel it early, though you may incur some penalties. If you don't own a car but need temporary coverage because you're renting or borrowing a car, you can get rental car insurance or non-owner car insurance.

Rental car insurance is a good option if you don't own a vehicle but rent one occasionally. This type of insurance is only active during your rental agreement and can protect your financial well-being if you're not already paying for car insurance. However, it can be pricey.

Non-owner car insurance is designed for people who don't own a car but drive frequently. It typically includes your state's minimum insurance requirements and can be more affordable than rental car insurance or traditional car insurance.

If you're borrowing a car from a friend or family member, you're likely already covered by their existing insurance policy as long as you have their permission to drive. However, if you drive their car regularly, you may need to be added to their policy.

Some insurance companies offer pay-per-mile insurance plans, which can be a good option if you only drive occasionally. With this type of policy, you pay for insurance based on how much you drive.

When considering temporary car insurance, it's important to shop around and compare quotes from multiple companies to find the best rate and coverage for your needs. Keep in mind that temporary insurance may come with certain risks, such as losing your down payment if you cancel the policy early.

Short-term insurance for rental cars

When renting a car in California, most rental companies offer basic liability insurance. Additionally, you have the option to include a collision damage waiver, supplemental liability insurance, and personal accident insurance. The cost of these policies can range from $40 to $94 per day. It's worth noting that you may already have rental car insurance through your credit card company, which could save you money.

Before purchasing short-term insurance for a rental car, it's recommended to check with your existing insurance provider to see if your current policy extends coverage to rental vehicles. In some cases, your personal policy may provide sufficient coverage, eliminating the need for additional short-term insurance.

Getting a refund on a cancelled policy

While auto insurance is not typically available on a month-to-month basis, you can still get a refund on a cancelled policy. If you pay your premium in advance and cancel your policy before the end of the term, the insurance company might refund the remaining balance. However, you may have to pay a cancellation fee, which could offset your refund amount.

The process of getting a refund will depend on the insurance company's specific policies. Some companies may require you to send a written cancellation request or speak to an agent directly. It's important to review the terms of your policy and understand any applicable fees before initiating a cancellation.

Additionally, the timing of your cancellation can impact your refund amount. If you cancel your policy in the middle of a billing cycle, you may receive a prorated refund for the remaining period. On the other hand, if you cancel at the end of a billing cycle, you may not receive any refund at all.

It's worth noting that having a lapse in coverage between policies can lead to higher insurance rates in the future. Therefore, it's generally recommended to secure a new policy before cancelling your existing one.

Non-owner car insurance

In most cases, to get a non-owner policy, you will need a valid driver's license and a clean driving record. It's important to note that non-owner auto insurance is not legally required if you don't own a vehicle. However, if you drive at all, it is highly recommended to have this type of coverage to protect yourself financially in case of an accident.

The cost of non-owner insurance varies depending on factors such as driving record, credit history, age, location, and the amount of coverage desired. On average, a non-owner policy costs around $700 per year, but it can range from $16 to $58 per month.

Frequently asked questions