Why Short Term Car Insurance Is Important
Short term car insurance is any policy that will cover the basics for up to 6 months. The majority of cases where you will be insured beyond 6 months will be considered long-term insurance. These short term policies can have some major benefits as well as a few drawbacks. Really this is about analyzing what it is that you require.
If you are planning to use a vehicle only for a short period of time, you should consider short term insurance vs. long term. Considering that this is a policy designed to cover short periods of time, some reasons why you would not need a vehicle for longer term would be if you have a car or truck that you’ll be moving from one area to another and may not normally drive. If you have a second vehicle that is not a daily driver that all of a sudden becomes a daily driver for another member of the family, but may be limited on duration, then a short term policy may be the best way to go.
In the majority of states in the United States, car insurance is legally required. There are fines associated for not being insured. Although most insurance has coverage in the event that other vehicles are uninsured or underinsured, your responsibility with the law is to be insured in the event that you are the one causing the accident. There are some states that are more strict than others.
The duration can extend from 1 day to 6 months. Cancellation of the policy is usually done in writing if you need to end this prematurely for whatever reason. There are some instances when you may only need a policy for a couple of days or a few weeks period of time. Insurances will usually work with you on your specific situation.
Coverage for these types of policies usually include liability insurance where you are the party that is at fault which means your insurance would cover the other person’s damage whether bodily injury or other property damage. This may be a good idea if you are not prone to accident or other careless driving and may save you some money. It won’t, however, cover the cost of replacing your vehicle if you have an accident caused by you. The other option is a full coverage that would then include your property being covered as a result of an accident caused by you or even caused by someone with no insurance or a lack of coverage.
The short term policies are usually not available through the more traditional insurance companies. And if they are, it is usually through a broker agent vs. directly through to the company. This varies, however, with companies as some have a significant inside sales department to handle this type of volume. Check with your existing agent if you have one on this topic.
Establishing a relationship with an agent / broker and filling out some forms either in person or online will get you started with the process of securing short term car insurance. The process itself doesn’t have to be complicated and can be done relatively quickly. It’s important to have your information prepared prior to the application processing including all of your vehicle information and your driving information which can be referenced via the state sponsored driving records.
Short term car insurance policies are important to have if you require the use of a vehicle for a period less than 6 months. The cost involved if you have an accident can be significant and being underinsured or uninsured adds a significant amount of overhead by way of problems should an accident occur.
You can find more information regarding short term car insurance on Youtube or other great videos on car insurance at info720.com.