All About Temporary Auto Insurance Policies in New York
As the name suggests, temporary auto insurance is a short-term auto insurance policy. Unlike standard policies, which are effective for 12 months, a temporary policy offers coverage for a shorter span of time. If you are in-between vehicles and plan on renting or borrowing someone else’s car, for example, temporary car insurance is a wise investment in the State of New York.
Temporary Auto Insurance Explained
Also known as short-term insurance, a temporary auto insurance policy runs for a shorter period of time than a standard policy. Standard policies typically run for a period of 1 year; however, a temporary policy can offer coverage for as little as one day or a period of up to 28 days. You can also opt to have the coverage offered by this type of policy extended beyond the 28 day period.
Unlike standard, long-term auto insurance policy, temporary coverage does not renew automatically; you will have to renew it once the initial term expires.
Short-term auto insurance is should not be confused with one-day insurance policies, as it offers more lengthy coverage. Furthermore, one-day policies only offer liability coverage, so this type of insurance will only cover third party damages or injuries. Temporary car insurance offers comprehensive coverage, meaning that it covers liability as well as collision (damages to the vehicle you are driving or injuries that you, the driver, sustains). It can also offer coverage for damages that do not occur while driving a vehicle, such as acts of vandalism and weather-related damages.
Short-term auto insurance can also provide coverage for uninsured and underinsured motorists. If you are involved in an accident with another driver and that driver does not have insurance or the maximum coverage on their policy is less than the damages sustained, temporary auto insurance may provide coverage.
How Does Temporary Auto Insurance Work?
Temporary auto insurance works much like a long-term policy. You will have the option to choose the amount of coverage that you want the policy to provide, ranging from the minimum liability coverage requirement, which is $10,000 for property damage and $25,000 for bodily injuries in New York State to a higher limit of your choosing (which may be a wise idea if you stand to lose more assets). You can also add other types of coverage, such as comprehensive, collision, and personal injury.
Also, just like a traditional auto insurance policy, short-term coverage is effective from the date and time you choose to have your coverage activated until the date that you have selected to have it end. For example, if you cho0se a 28 day policy, your coverage will end 28 days after the date and time you selected for the policy to go into effect. If you would like to extend coverage, you will need to renew it, as a short-term policy does not renew automatically like many traditional policies do.
How to Purchase Temporary Auto Insurance
In order to obtain temporary auto insurance, you will need to either own the vehicle that you will be driving, or you must obtain permission from the owner of the vehicle that you plan on driving. When obtaining a policy, you will need to provide some key information, just like you would with any other type of insurance policy, including:
- Your personal information, including your name and address
- Your license number
- A record of your driving history
- The details of the car that you will be insuring
- The date and time that you want coverage to start and end
- The amount of coverage you would like
- Any additional coverage that you would like included, such as collision, personal injury, or comprehensive
Who Should Consider Temporary Auto Insurance?
Short-term car insurance can be beneficial in a wide range of situations, including:
- When your own car is in for repairs and you plan on using a vehicle that belongs to someone else.
- When you are in the process of purchasing a new car and you plan on testing several different vehicles before you buy.
- A family member, friend, or anyone who is not covered by your traditional policy will be driving your car.
- You are going to sell your car and need to coverage for a short period of time while potential buyers are test-driving it.
- You own a car but don’t use it often and don’t want to carry a traditional long-term policy.
Why is Temporary Auto Insurance Beneficial for New York Drivers?
In the State of New York, all motorists are required to carry a minimum of liability coverage. If you plan on driving a vehicle for a short period of time or you intend on letting someone else operate your vehicle, purchasing this type of policy is a wise investment. It’s a more affordable option than long-term insurance, but it will offer you the same protection and prevent you from being charged with stiff penalties if the vehicle that is being operating is not insured.