Most car insurance policies run for six months or annually, but there are scenarios in which someone might need or want a shorter term. You cannot buy temporary insurance. While some companies may advertise “short-term” or “temporary” policies, these can be risky. You will need to obtain your own standard policy (even if you cancel early), get added to someone else’s policy, or get a rental policy. The best option for you will depend on factors such as whether you own the car, how long you need coverage, and the specifics of your situation.
Why You Might Need Short-Term or Temporary Insurance
The question of temporary insurance might come up in situations including:
- You are staying with someone for a time and want to borrow their car.
- You live outside of the U.S. but want to drive while visiting.
- You own a car that you only drive seasonally.
- You plan to keep a car in storage.
- You’re a college student who only drives when home for breaks.
- You’ll be going on extended travel.
- You’re temporarily moving and will have a car for the short term.
- You’re using a car-sharing service.
If you’re in one of these situations, it might be tempting to seek a short-term solution offered by a lesser-known company, but be scrupulous when considering these offerings — there can be issues buried in the fine print that can leave you unprotected. When it comes to insurance, always use a reputable company.
Do You Own the Car?
The most important factor in determining your course of action for short-term or temporary car insurance is whether you own the car.
If you own the car, it will almost always be the best option to purchase a regular insurance plan with a major company. If you do not need the insurance for the entire duration of the plan, you may cancel early. This might incur a cancellation fee, but you shouldn’t be charged for the months that remain after you cancel, and you will be fully protected for the duration of your driving.
If you only drive the car very occasionally or seasonally, you can also consider a pay-as-you-go plan through a major insurer, where you will only pay for the miles you drive. This can be an affordable option.
If you have a scenario like a college student who only drives during breaks, it’s prudent to add them to your existing policy as a temporary driver. Your insurance company can work with you to do this.
Finally, even if you plan only to store the car, you still need insurance. In this case, you can forego liability and collision coverage if you plan to store the car for more than 30 days, but you should still consider a comprehensive-only plan. This will keep you protected from weather-related damage or theft, and ensure that you don’t have a lapse in coverage that could lead to higher future costs.
If You Don’t Own the Car, Consider These Options
If you plan to borrow a car from a family member or friend frequently, you can ask to be added to their existing policy. This comes with some added responsibility, however. If you are responsible for an accident while on their plan, their premiums could increase. Borrow and drive responsibly.
When it comes to rental cars or peer-to-peer rental services like Turo or Getaround, your own personal policy will likely extend coverage to rentals, or you can be covered under one of the company’s policy options. Confirm the details of your own policy beforehand.
For international visitors, the easiest solution will almost always be an insurance policy through your car rental company. If you have a longer or extended stay, you’ll need a regular policy. These policies will vary from company to company, depending on the type of license you hold and the individual circumstances of your visit. You’ll likely need to shop around and speak with multiple companies to find one that meets your specific needs.
The Bottom Line
There may be companies that advertise “short-term” or “temporary” car insurance policies, but you need to investigate these very carefully, as there can be loopholes in the fine print that will leave you on the hook if something goes wrong.
In almost every case, the best option is to either sign up for a standard policy — even if you have to cancel early — or to sign up for a policy through the rental company or peer-to-peer rental company that you are using.
