Car insurance is required in Canada for all drivers. Your auto insurance policy will not only provide you peace of mind, but it will also save you money if you happen to get into an accident or your car gets stolen.
While car insurance can protect you on the road, long-term coverage is not always required. A temporary vehicle insurance policy may be the best option if you only need coverage for a limited period. However, it is critical to understand how this policy works and what is covered before obtaining one.
Continue reading to understand what about temporary insurance policies, how they work, and if you should get one.
If you’re a driver looking for temporary car insurance in Alberta, Surex can help you find quotes for affordable coverage. Click the following link for more in-depth information about car insurance in Alberta: https://www.surex.com/insurance/auto-car/alberta
What is Temporary Car Insurance Canada?
Temporary car insurance in Canada is usually for a few months or less, with some plans covering a motorist for as little as a few weeks. Temporary auto insurance is a good option for drivers who require coverage for less than a year. A typical short-term insurance policy will cover the motorist for one to three months.
The benefits of temporary automobile insurance are numerous. They are typically less expensive than other vehicle insurance policies that require a driver to commit to a monthly or annual payment schedule.
What is Covered with a Temporary Car Insurance Policy?
You’ll have different alternatives depending on the sort of insurance you have. Always double-check with the provider to ensure you’re covered and keep any paperwork.
Given below are the areas that are covered by a temporary car insurance policy.
- Coverage for car damage caused by a collision.
- Replacement charges, accident recovery fees, and other repairs are all covered.
- Coverage for personal injuries caused by accidents involving an insured vehicle.
- Coverage for damages to another person’s automobile or property caused by an insured vehicle in an accident.
When Do You Need Temporary Car Insurance Alberta?
In several scenarios, temporary car insurance may be required. The following are a few of the most common instances:
- Tourists who drive instead of renting a car while visiting Canada. Self-driving rather than renting is more cost-effective for visitors staying for a month or more.
- If you’re selling your car and the license plate you’re currently using is only temporary. While the new license plate is being registered, many short-term insurance plans will cover the duration of the temporary license plate.
- If you intend to borrow a car from a friend or coworker for a long period of time, you might need to obtain temporary auto insurance.
- If you rent a car, you might need to obtain temporary or short-term car insurance before driving the vehicle on public roads.
- People who drive antique or sports cars regularly, possibly as a backup vehicle, can consider temporary car insurance to satisfy their demands in terms of ease and pricing. Note that regular insurance for such luxury vehicles can be very costly.
- Temporary car insurance is required for anyone moving to Alberta from another area before receiving their new license plates.
Can You Get Temporary Car Insurance in Alberta?
Most Canadian jurisdictions provide temporary automobile insurance. While your alternatives appear to be limited in the short term, this does not mean you should drive without insurance.
Even though the province of Alberta makes it tough to obtain temporary insurance, it’s not impossible. They allow drivers to get in-transit permits, which lets them keep the plates and registration from another vehicle for two weeks.
However, the validity of car insurance is not affected by these 14 days. In-transit permits can be utilized to temporarily register your vehicle, but evidence of insurance is still required.
On car insurance coverage, most insurance providers only offer an annual or six-monthly period. In Alberta, no insurance firms offer short-term car insurance. As a result, your sole choice is to purchase an annual or six month coverage.
If you buy a policy and then cancel it in the middle of the term, the insurer may determine your refund using a short rate. As a result of your early cancellation, processing fees will be taken from your refund.
How Can You Get Temporary Car Insurance in Alberta?
Before selecting temporary car insurance, get as many quotes as possible from various insurance companies and analyze them according to your needs and budget. Then you’ll have to decide how long you’ll need coverage, how much liability coverage you’ll need, and whether you’ll need any other coverage, for instance, comprehensive and collision coverage or towing.
Because the insurance industry is both complicated and competitive, you’ll likely come across a wide range of pricing from which to choose. When purchasing temporary car insurance in Alberta, you must provide the following information:
- Personal information
- The car’s specifications
- A current driver’s license
- Coverage duration
- Date when you want your insurance to start
- Your functional credit or debit card information
- Any other coverage that you want to include in the policy.
(FAQs)- Frequently Asked Questions
Que- Is it possible to insure an automobile in Alberta for 24 hours?
Ans- Unless you are renting a car and getting insurance from the rental company, there is no way to insure it for 24 hours. In Alberta, most insurance companies provide coverage for at least six months.
Que- In Alberta, can teenage drivers acquire temporary auto insurance?
Ans- No, although a parent’s vehicle might have young drivers registered as occasional drivers. This speeds up the process and eliminates the need to pay cancellation fees when it’s time to get rid of them.
Temporary vehicle insurance might be an excellent way to secure coverage while travelling for a short period of time, and you can avoid paying the full price of a typical policy. This form of insurance, however, might be challenging to come by. You may wish to consult with an insurance advisor (also known as a broker) to assist you in finding an insurer who can provide you with the coverage you require.