What is Short term car insurance and How to get it in California

What is short term auto insurance and how to get it in california

California drivers seeking short-term car insurance can choose for six-month coverage rather than yearly ones. Some carriers may advertise one-week or one-month insurance policies, but these are not legitimate insurance options and are not intended to work the way traditional auto insurance policies do. Because auto insurance companies don't usually offer policies that are intended to be only temporary, California drivers looking for short-term or temporary auto insurance need to weigh their options. Bankrate's expert insurance editorial team can help guide you through your California temporary car insurance options.

What is temporary car insurance?

Most of the main car insurance firms in California provide six-month plans or yearly policies covering 12 months for short-term or temporary auto insurance. There are some advantages to having a shorter six-month policy compared to an annual policy, as well as some disadvantages to consider. Depending on your situation, you may find it helpful to renew (and re-examine) your policy more often. However, 12-month policies mean that you maintain rates for a longer period of time, which can be beneficial depending on your circumstances.

Advantages and disadvantages of short-term insurance in California

Insurance policy for 6 months

Advantages:

Prices may drop more quickly with frequent renewals.

More flexibility to reassess your current service provider or change carriers without incurring cancellation fees

Disadvantages:

Depending on changing risk factors, rates may increase rapidly after regeneration.

You may lose the discount if you are no longer eligible after renewing your policy.

Insurance policy for 12 months

Advantages:

Hold low rates for a long period of time.

Discount can be saved for a long time.

Disadvantages:

Fewer reminders to review your coverage

Wait more to change the price.

Average cost of short term auto insurance

California rates for a 12-month full coverage policy are about $227 higher than the national average, based on annual premiums through 2023 from Quartile Information Services. Companies can adjust rates for shorter policy lengths, which means your short-term policy may not be exactly half the amount of your annual car insurance policy. Auto insurance rates are customized based on many factors, such as driving history and age, but it's important to note that your zip code, credit score, and gender can affect your California car insurance rates. can not be calculated.

National average annual cost for full coverage    State average annual cost for full coverage

$2,014                                                                         $2,291

Car insurance rates also vary because each car insurance company has its own way of calculating rates. Here's a comparison of five major carriers within California, and the average cost of a six-month full coverage policy. Keep in mind that these are averages, and your premium may be higher or lower depending on your personal factors, the coverage you choose, and the individual company's adjusted rates for a 6-month policy.

Company                                                         Average premium of 6 months for full coverage

AAA                                                                     $1,243

Allstate                                                                 $1,219

Farmers                                                                 $1,321

Nationwide                                                            $1,126

State Farm                                                             $1,129

National average                                                     $1,007

Temporary car insurance options

In California, in addition to getting normal six-month insurance coverage, a few forms of temporary car insurance may be offered. The financial considerations below may be beneficial to some drivers depending on their circumstances. However, the availability of this protection, the amount of coverage offered and the duration of each depends on the particular auto insurance company.

Non-owner insurance policy

A non-owner insurance policy can be a good solution for drivers who don't own a car and don't have regular access to a vehicle, but still need to drive occasionally. It may be cheaper than regular car insurance, but that's most likely because it only includes liability coverage. Non-owner plans typically cover you for at least six months. Non-owner insurance is available from California vehicle insurance firms that specialize in non-standard coverage.

Car rental insurance

If you plan to rent a car, you may want to consider purchasing additional rental car insurance. It is issued by the rental agency and is only valid as long as you own the vehicle. Although your standard policy may extend coverage to a rental car, it may not have all the necessary coverages or high enough limits to provide the financial protection you need. Car rental insurance is designed to provide additional liability, comprehensive, collision or personal impact coverage. Talk to your current car insurance company to see what situations may require temporary rental car insurance to cover your financial security.

Short term insurance for stored vehicles

Some auto insurance companies offer short-term auto insurance solutions for stored vehicles. If your car hasn't been used for more than a month, you may be able to drop your liability, collision, and medical payments, and only keep comprehensive insurance. This can help lower your rate because your overall level of financial security is lower. However, there may be certain limits, such as where your car is stored and who has access to it during the storage time.

Rideshare Insurance

If you're driving for a rideshare service like Uber or Lyft, it's important to understand how car insurance for rideshare drivers works. As a driver, you have your own car insurance policy, which can only insure you when your application is closed and you are on a personal trip. If your app is up and running and you're dropping off and picking up passengers, your rideshare insurance is in effect. Be sure to check out what your rideshare car insurance covers, as well as applicable deductibles. You can also contact your personal auto insurance company to inquire about an optional ride-sharing credential that can provide additional coverage to cover potential gaps while you're at work, such as when riding while waiting to apply.

How to get short term car insurance

Ultimately, the decision to choose a six-month or 12-month insurance policy depends on your personal situation. For example, if you're in the military, and plan to move to another state, expect to add a teen driver to your policy in the near future or plan to get a new car, so having a six-month policy may be more beneficial. . . Longer policies do have their advantages, such as the ability to lock rates in for longer periods of time, but the flexibility of a shorter policy may be more beneficial to some drivers.

If you decide to get short-term car insurance in California, you will first need to research auto insurance companies that offer six-month policies or other types of auto policy alternatives. You should also consider what type of coverage you need, how much coverage you need, your budget and what you value in an auto insurance company.

For example, the best auto insurance companies may have the best customer service, best coverage options, and solid third-party ratings, but they may not have the cheapest rates. On the other hand, the cheapest car insurance companies have the most affordable policies, but they may fall short when it comes to coverage options or customer service.

In unique situations, temporary auto insurance solutions can help add to the financial protection your standard insurance policy already provides. When in doubt, talk to a licensed agent to determine which protection is best for your situation.