Though insurance is a vital part of operating a vehicle, there are many instances in which a long-term insurance policy is just not practical.
Fortunately, short-term car insurance exists for just such an occasion.
It offers a short-term solution for providing desired coverage without a long-term commitment.
Typically lasting from one day to six months, short-term insurance provides temporary coverage of varying levels for a vehicle.
Liability insurance is included, and the policyholder can opt for extra coverage as well as any additional services a provider may offer, such as roadside assistance at additional cost.
Premiums are generally charged at a flat rate and are paid out either monthly, or as a down payment, depending on the length of the policy contract.
Usually, the policyholder can end a short-term policy early with a written request, but additional charges might apply.
Short-term insurance is best suited to situations in which there is temporary ownership or short-term operation of a vehicle.
Since adding people to a long-term insurance policy can be a hassle and results in additional costs between premium payments, short-term insurance provides a more convenient solution in cases where a friend or family member may be visiting and need to drive a vehicle they aren't insured on.
Additionally, short-term vehicle insurance may be useful for visiting foreigners or people taking an extended road trip in a rental car to provide coverage for the short period of time that they may be using the vehicle.
Seasonal hazards such as hail and hurricanes, or risks of physical damage in storage may also warrant a short-term insurance policy to protect against unforeseen circumstances.
While long-term auto insurance provides a more permanent solution to insurance needs, short-term car insurance can help to fill in the gaps where a long-term solution may not be applicable.