Life can throw a lot of unexpected situations at you, and while you might not expect it, you may end up needing car insurance coverage for one day.
1 car insurance falls into the ‘temporary’ category of policies. This type of coverage typically lasts anywhere between 1-28 days, as dictated by you, the customer.
Carriers often try to charge a premium or have special rules for short-term plans, so it’s important to be informed. In the following article, we’ll break downs the ins and outs of short-term policies so you can act with confidence. Specifically discussed are….
One Day Policies: Typical Uses and Coverages
Can You Temporarily Add Someone to an Existing Policy?
Can You Buy Temporary Insurance if You’re Under 25?
Benefits of Short-Term Coverage
Let’s get started…
One Day Policies: Typical Uses and Coverages
Policies that last for only 1 day (or a short period of time) are obviously designed for singular use. There are many scenarios where getting one-day insurance makes sense.
- If you are driving a friend’s car and need some protection
- If are dusting the cobwebs off your classic sports car and require some coverage
- If you are planning a road trip and want to do a portion of the driving
- If you are hiring a van to move
- If you are planning to test drive a new car(s)
- If you are borrowing a car for a short-term business trip
Basically, whenever you need to drive and aren’t insured, 1-day car insurance is a smart stop gap.
One day or temporary plans can be designed to cover a wide variety of needs, but standard offerings will normally include:
- Physical damage to the vehicle in the event of an accident.
- Damages resulting from vandalism, theft, or natural disaster.
- Liability for bodily injury or death of another person(s).
- Property damage liability for other people’s vehicles.
- Roadside assistance and towing (less common).
Can You Temporarily Add Someone to an Existing Policy?
Of course, you can always add someone (or be added yourself) to an existing policy if the need comes up. However, different carriers have different prices and restrictions on this so it may not be the smartest or most cost-effective solution.
If the need for a claim arises, you could negatively affect either your own policy or that of the one you’ve been added to. This can cause sticky situations betweens friends or family members. The better option is likely to purchase your own on temporary coverage.
Can You Buy Temporary Insurance if You’re Under 25?
In most cases, carriers will be happy to serve people (with good driving records) between the ages of 18 – 75. In the case of temporary insurance, you may find that some providers are unwilling to accept drivers under the age of 21. Drivers between the ages of 21-25 should not have any issues.
Additional, roadblocks to obtaining single day coverage are DUI/other driving infractions, a high number of points on your license (depending on the state) or history of making many claims.
Benefits of Short-Term Coverage
One day or temporary insurance should not be considered a viable or money saving alternative to getting an annual insurance plan. But there are some key benefits to having it.
- Daily use – allows flexibility, and in some cases pay as you go.
- Can be quickly set up – can provide instant coverage if you’re in a pinch.
- The range of vehicles covered – cars, vans and motorhomes, and in some cases out of country driving.
- It’s flexible – enjoy the flexibility of driving another car, or insuring extra drivers on your own car.
Summary
One day policies are available for a lot of people and they’re a good solution to many different situations. Buying the policy itself is easy.
The majority of companies make it possible to purchase online or over the phone. And it takes just a few minutes to get a quote, so you could be all set in a matter of minutes.
As with regular car insurance, actuaries consider the driver’s age, their vehicle, their driving history and a number of other data points in determining the price.
If you’re considering one-day insurance just be sure to remember the basics:
- Temporary insurance is useful when you’re moving or borrowing a car or otherwise uninsured. It typically covers collision, bodily injury, and liability.
- You can get this type of coverage by simply adding someone to an existing policy but this presents a number of problems and may not be the best option.
- To qualify for one-day insurance you generally need to be at least 21 years of age and have a relatively clean driving record.
- Temporary insurance is convenient because it’s quick to set up, flexible and in some cases allows you to pay as you go.
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