When Is Temporary Auto Insurance A Good Idea?

If you're planning on using a car or vehicle only for a short while, then temporary auto insurance might be something you want to consider. Temporary auto insurance policies differ from traditional model insurance policies in that they are normally issued for very limited time periods: usually between 1 and 28 days. There are many companies that offer temporary auto insurance; furthermore, you can find both traditional and online insurers that are willing to issue a temporary auto insurance policy.

Why Temporary Auto Insurance Is a Good Idea

Temporary auto insurance protects you from liability, in the event you're involved in an accident. Just like traditional auto insurance policies, temporary policies offer coverage for damage, medical expenses and other accident related expenses. Temporary auto insurance policies can offer you the same protection and peace of mind that traditional car insurance policies offer - even if you're only using a vehicle for one day. Unless you're prepared to pay any potential damage and medical expenses out of pocket, then making sure that you are adequately insured is the smart thing to do.

When to Get Temporary Auto Insurance

If you need to rent a car or truck from a commercial rental agency, (such as rental car agencies at airports and U-Haul or Ryder trucks) you will be required to provide a minimum amount of insurance coverage for the vehicle. These agencies typically offer temporary auto insurance policies for the vehicles at the time of rental.

While many standard auto insurance policies extend coverage to rental vehicles, it is not a bad idea to consider purchasing the temporary coverage that the rental agencies offer. Sometimes, driving a different type of vehicle (than you’re used to) might increase your chances of an accident.

If you are in an accident, then allowing the insurer, that issued the temporary auto insurance policy, to cover the cost of damage or liability - might help keep your regular auto insurance policy premiums from going up.

Another time to consider getting temporary auto insurance is, when borrowing a vehicle from a friend or relative; although the other person may indeed have insurance coverage on the vehicle, the coverage may or may not extend to you. Even if it does, in the event of an accident, allowing the temporary car insurance to cover costs - instead of the policy of the friend or relative - will help to keep your friend or relative's insurance premiums from being increased.

Temporary auto insurance is a great idea, if you're only using a vehicle for a very short period of time. It offers you protection against personal liability and also pays for many other accident related costs. In addition, it helps to avoid increases in regular auto policy premiums.

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