Yes, Major car dealerships offer temporary auto insurance for both new and reconditioned cars. However, not all dealerships offer temporary insurance. So, before purchasing a vehicle, call the dealership and ask.
Are you purchasing a new car but haven’t got insurance yet?
Well, you can’t drive without auto insurance in most states. However, temporary car insurance might be your solution. But do car dealerships offer temporary insurance?
Well, you are about to find out. Because in this post, I am going to briefly explain whether car dealerships offer temporary car insurance or not. Moreover, I will also talk about temporary car insurance, whether you should buy insurance before buying the car, and many more related queries. So, stay with me till the end.
Let’s start with what temporary car insurance is
What Is Temporary Car Insurance?
Temporary car insurance is short-term auto insurance for new car buyers. Most temporary car insurance provides coverage for 1-30 days.
Most car insurance plans are either 6 months or a year long. But you might need coverage for shorter terms in some situations. For instance, when you buy a new car and can not decide which insurance plan to get.
That’s why some insurance companies provide shorter-term coverage that can cover your car from 1 day to 3 months. These temporary car insurance plans are easy to get and the coverage starts within a day or two after purchasing. However, most major car insurers do not offer Temporary car insurance plans.
We all know you can not drive your car without liability insurance in most states. But can you drive the new car home without insurance?
Can You Drive A Car Off The Lot Without Insurance?
No, you can not drive the new car off the lot without insurance. Because in most states it’s illegal to drive a car without insurance.
In almost all states, you can not drive a car without insurance. Does not matter whether you have bought a new car or old. You can not even drive the car home from the car dealership to home without insurance.
Because most states require liability car insurance which makes sure if you crash into any vehicle the other side gets coverage. Moreover, in case the other vehicle is at fault for the accident then their insurance company can deny any claim from you if you are not insured.
Even if your state allows you to drive a new card without insurance, the car dealership won’t let you off the lot without insurance. You can’t even get a car loan without car insurance. As a result, you must have insurance when buying a car from a dealer.
But do dealerships offer temporary car insurance?
Do Car Dealerships Offer Temporary Insurance?
Yes, most car dealerships offer temporary insurance when you buy a new car. Even if they don’t offer temporary car insurance, they can help you get one.
Most state laws do not let you purchase a car and drive it home without car insurance. As a result, car dealerships provide you with temporary car insurance that can provide coverage ranging from 1 day to 28 days. Some even do it without any cost.
Moreover, most dealerships nowadays have an insurance representative or at least a tie with auto insurance companies. So, if your car dealership does not offer temporary insurance they can surely help you manage one.
Now, what if you already have auto insurance from a previous car?
Is Your New Car Covered Under Existing Insurance?
Yes, in most cases, your new car is covered if you have an existing car insurance plan. However, this largely depends on your insurance company.
In case you have existing car insurance then your new car is covered under that. You can get four days or more of coverage for the new car from existing insurance. Moreover, some insurance companies offer grace periods.
However, if your car is financed and your old insurance does not have collision or comprehensive coverage then the dealership won’t let you drive off the lot. In this situation, you have to purchase a new insurance plan.
Do Car Dealerships Offer Insurance?
Yes, most car dealerships nowadays offer insurance to new car buyers. However, these insurances are prepackaged and can cost higher.
Nowadays most car dealerships have ties with car insurance companies. Some even keep an insurance representative at the dealership. As a result, you can purchase auto insurance from your car dealership.
This can save you the time and hassle of finding and purchasing car insurance. However, most car dealerships offer pre-packaged insurance which means they have a lot of features you might not need. As a result, these insurance packages might cost you more.
How Do Dealerships Verify Insurance?
Most car dealerships will ask you for the insurance documents to verify.
Car dealerships do the paperwork for DMV. As a result, they have to make sure that you have car insurance. So, they verify your insurance by looking at the document.
Some do not look at your document. But in those cases, you have to sign a legally binding document confirming that you have insurance.
In Summary
You must have auto insurance when buying a car from a dealer. So, if you have not decided on an insurance plan but want to purchase a car then you can get temporary insurance from the car dealership.
However, before going there make sure the car dealership offers temporary insurance or can help you get one.
