In the excitement of buying a new car, don’t forget to make sure you have insurance! It’s illegal to drive without it in most states, and if you get caught it could end up costing you more money. But, when buying a car there are all types of special situations that can happen. For instance, what if you buy a car in another state and want to drive it home? Let’s discuss how soon you need insurance after buying a car.
How Long Do You Have to Get Insurance After Buying A Used Car?
While the odds of you getting pulled over directly after you’ve purchased a car and before you’ve updated your insurance are low, it could happen. And technically, you could be found in violation and end up with a fine or even with your new ride towed.
That’s where the grace period comes in. If you already have car insurance, you will have a chance to switch coverage over to your new car or to add the new car to your policy. Here are two common scenarios.
If you just need to add your new car to an existing policy, you have 2 to 4 days to do so, depending on the insurance company you use. All insurance companies expect that you will add the new car to your policy as soon as possible, since they are extending coverage to your new car based on good faith.
If you are replacing your current covered vehicle with a new one, you have a little more time. During the grace period, your new car will have the same coverage as your old. So, if you had minimal coverage on an old clunker and now you have a new BMW, it’s in your own best interest to get the BMW on your policy as soon as possible.
Best Practices
Don’t Wait
Even if you have a generous grace period, it is best practice to reach out to your insurance company as soon as possible to avoid costly mistakes, such as a gap in coverage. Since the rules are complicated and vary by company and by state, you don’t want to get caught unintentionally driving an uninsured car, which will cause even more problems if you’re caught.
Shop Around
Before you buy a new car, it’s smart to get a few insurance quotes to make sure you aren’t surprised by sky high premiums for your new sports car. Shopping around for car insurance doesn’t have to be a hassle. If you want to comparison shop, even if you are a first-time auto insurance customer, InsuranceWins can help.
The InsuranceWins form sets you up with multiple quotes from well-known auto insurance companies so you can compare options in your area. Simply provide some basic information and you’ll be on your way to getting the best deal to protect you and your new car.
