Is temporary car insurance available in Florida?
Most major car insurance companies don’t offer temporary policies, so even though these policies may be available in Florida, they can be hard to find.
Mark Friedlander, Insurance Information Institute corporate communications director, urges consumers who want to buy temporary car insurance to be careful when they do so.
“Insurance professionals also warn consumers to be wary about scams from companies that advertise temporary insurance (such as seven-day and 30-day plans), as the level of coverage provided may not be adequate. Most short-term plans are offered through obscure insurers,” Friedlander says. “If you plan to buy temporary auto insurance, make sure you are purchasing it from a reputable carrier and that the coverage is adequate so you are financially protected from all potential losses.”
The reason major auto insurance companies don’t offer temporary policies is that it costs companies more to underwrite the risk than they make off a short-term policy, according to Friedlander.
Hugo is a relatively new insurtech company that offers short-term and temporary car insurance policies to Florida drivers. You can buy insurance under two plans — flex or basic/full — and turn your coverage on and off as needed. If you’re not driving, then you don’t have to pay for car insurance, but the option to turn it on and get coverage is available.
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Getting nonowner car insurance in Florida
“If you’re driving a vehicle you don’t own, you can look into other options like nonowner insurance,” Friedlander explains. Nonowner car insurance is a great fit for people who frequently borrow other people’s cars or want to use a car-sharing service. What’s great about nonowner car insurance is that you can easily purchase it for a period of six months to a year. Unlike traditional car insurance policies, this kind of coverage is usually more affordable. Moreover, if you only need the policy for a short period, you can usually cancel it without any hassle.
Keep in mind that having continuous insurance coverage is an important part of your driving history, and insurers may consider you a higher-risk driver if you have coverage gaps when you buy insurance again in the future.
Important Information
Although nonowner car insurance offers terms and conditions similar to regular car insurance, it only covers injuries and damages that you cause to other people and their property. It doesn’t cover your injuries or property.
Canceling your policy early in Florida
You also have the option of buying a standard car insurance policy and canceling it early. If you want to, you can purchase a six-month policy and then cancel it after a few months if you no longer need coverage — like if you sold your car or stopped driving it. You may have to pay a cancellation fee, but you won’t be on the hook for monthly premiums anymore.
You can cancel a car insurance policy for any reason. But it’s important to note that even if you cancel your policy, you still need car insurance in Florida if you drive again. You risk license or vehicle registration suspension if you drive without insurance.[1]
Getting car insurance for a rental car in Florida
If you’re renting a car, you have a few options for getting rental car insurance coverage:
Check your existing car insurance policy. Your current policy may provide limited coverage for rental cars. Call your insurer to find out the details of your coverage and any exclusions or limits.
Consider credit card coverage. If you pay for the rental with a credit card, it may provide primary or secondary coverage for damage and theft. Check with your credit card issuer to understand the details of its benefits.
Purchase a rental car insurance policy. The rental company will likely offer optional insurance policies to cover liability, collision damage, and theft. The cost will depend on the level of coverage and the value of the rental car. Only buy what you need to supplement your existing coverage.[2]
