Temporary car insurance may sound like a simple solution, but the reality is that you can’t buy insurance labeled “temporary.” And if you find a career online that offers insurance coverage for just a few days, be careful. That may be injustice. Still, that doesn’t mean you have no choice. Typical insurance is sold under six- and 12-month insurance contract terms, but drivers who no longer need coverage can cancel their car insurance early. Understanding the coverage options available will help you avoid unnecessary costs and excessive stress if you need short-term insurance.
Can I get temporary car insurance?
In most cases, standard car insurance is usually sold under six or 12 months’ terms of insurance contracts, so you cannot purchase temporary car insurance. The coverage you need is really summarised in the reasons why you need short-term insurance. For example, if you are renting a car, most rental companies offer insurance that you can buy by the day. There are no temporary options for all sizes, but most of the time there is a coverage solution that suits your situation.
How do I get temporary car insurance?
Getting temporary insurance usually starts just like any other insurance unless you purchase coverage directly from a car rental agent. You need to choose the right coverage that suits your needs. Once you no longer have to drive your vehicle, you can cancel your policy early or switch to a storage plan.
How much does temporary car insurance cost?
The cost of temporary car insurance depends on how you get coverage. If you are renting a car, your car rental insurance usually costs between $10 and $30 per day, depending on your coverage you choose (such as liability, collision damage waiver, or personal property protection). Other factors, such as the vehicle’s make and model, the location of the rental, and whether or not you are under the age of 25, can have a significant impact on your daily insurance costs.
Similarly, the cost of a traditional car insurance policy will vary based on several factors, including the insurance company you choose, the coverage limit you choose, the type of vehicle you drive, age, location, driving records, and more. That said, looking at average premiums for full and minimal coverage policies gives you a general idea of how much you should pay.
Based on an analysis of data from Quadrant Information Services, the average cost of car insurance as of June 2025 is $2,680 per year for full coverage. This is $7.34 per day. The annual fee for minimum (or liability only) coverage is $802. This amounts to $2.20 per day.
Average daily cost of car insurance
| Coverage Type | average. Cost per day |
|---|---|
| Complete coverage | $7.34 |
| Debt only | $2.20 |
Who needs temporary car insurance?
There are several reasons why drivers seek short-term car insurance.
- Rent a vehicle
- Rent a car
- Going to school
- Seasonal use
- Store the vehicles for sale
- Test operation
- Vehicle inheritance
- I bought the vehicle before the policy began.
- Travel or travel
Can I get daily, weekly, or monthly car insurance?
Auto insurance is not normally sold on a day or week unless you purchase coverage through a car rental company or a specialized insurance provider. This is because longer insurance contract terms help reduce fraud and lower management costs, making it easier for insurers to make risk and pricing policies easier.
How do I temporarily use standard car insurance?
Standard insurance can usually handle short-term needs. It must be strategic. Whether you cancel your policy early, switch to storage coverage, or only have a few weeks of insurance, traditional policies offer more flexibility than you would expect. The following table provides an overview of the general situations in which standard policies act as temporary solutions.
| situation | Best Temporary Insurance Options | Why does it work? |
|---|---|---|
| Renting your vehicle without your own car policy | Car Rental Insurance | Easy daily coverage through a car rental company |
| Renting your vehicle with your own auto policy | Your own automatic policy | Many carriers will extend existing coverage to car rentals if they meet career guidelines |
| I rent or rent a car frequently (I can’t access another vehicle regularly) | Non-owner policy | Provides debt-only coverage and builds insurance history |
| Rent a car (only one time) | It may be covered by the owner’s policy (called acceptable use – confirmation with the insurance company). Or add it to the owner’s policy as the listed driver | Existing coverage may be extended to you and may be provided free of charge for short-term use. Please check with the agent in advance |
| Rent a car (used occasionally) | It may be covered by the owner’s policy (called acceptable use – confirmation with the insurance company). Or add it to the owner’s policy as the listed driver | Existing coverage may be extended to you and may be provided free of charge for short-term use. Please check with the agent in advance |
| I rent a car regularly | Added as a driver listed in the Owner’s Policy | You become a covered driver and build an insurance history |
| Going to school | Storage Plan | Keep your car protected from theft and non-collision damage while not in use |
| Seasonal car | Storage Plan | Keep your car protected from theft and non-collision damage while not in use |
| Storage of vehicles for sale (no test operation) | Storage Plan | Keep your car protected from theft and non-collision damage while not in use |
| Storage of vehicles for sale (enable to test operation) | Standard Policy | Leave it protected, allowing occasional test drives |
| Move | Update standard policies and addresses | Carriers with national coverage can update your policy to comply with state requirements |
What happens if you cancel your standard car insurance early?
It is usually permitted to cancel your car insurance before the end of the semester, but there are some possible outcomes. Some companies (often non-standard cars) apply short-term cancellation fees. This means they will hold a small number of your unused premiums as a penalty. Others may charge a flat cancellation fee. However, in most cases, auto carriers typically cancel their policies on a proportional basis and refund unused portions at no charge.
Please note that if you cancel too many policies, you can red flags with your insurance company. If it appears that you will buy a vehicle for a short period of time and guarantee it, the insurance company may assume you are operating like a dealer and refuse future coverage. These situations require dealer insurance that is not sold by all carriers.
That said, there are many situations where canceling your policy early makes sense. If you sell a vehicle, you will not plan to drive it for a long time or you will not buy a new one anytime soon. Termination of the policy will help you avoid paying for unused coverage.
What are the other options for short-term auto insurance coverage?
Typical car insurance can work in most situations, but it may not be the best choice for everyone. If you drive occasionally or don’t own a car at all, you may not need a traditional policy. Alternatives such as pay-per-mile insurance and non-owner car insurance can provide financial protection, but are usually offered at a lower cost than traditional insurance.
What is Paypermile car insurance?
Pay-Per-Mile’s car insurance is a type of policy designed for fuel-efficient drivers. Instead of paying the monthly premium for the flat, you pay the base rate and the rate per mile, so the cost is directly tied to the amount of driving. Most insurers use plug-in devices or mobile apps to track your mileage and provide the same coverage you get with standard policies.
This can be a good option for drivers with rarely used vehicles, but it is powered well enough that the storage plan is not the best option. Students who leave their cars at home while at school may fall into this category, not just overseas military and remote workers.
What is non-owner car insurance?
Non-owner car insurance is a debt-only insurance for people who don’t own a vehicle but want coverage when they drive from time to time. To qualify for this coverage, you will not own a car or have regular access to the vehicle. For example, if you live with your parents and have a car, you will need to add it to your policy as a driver and are not eligible for a non-owner policy.
This type of policy is perfect for drivers who want to rent or rent a car or stay ongoing coverage. Additionally, drivers who need to maintain SR-22 insurance but do not own a vehicle can obtain a non-owner’s policy to meet state requirements. Non-owner policies are also sold under the terms of 6 or 12 months, but are generally cheaper than full coverage policies as they do not include comprehensive coverage or collision coverage.
