Auto Insurance Dilemma
My fiancée recently sold her car and doesn’t drive anyone else’s, so either her family or I take her wherever she needs to go. I’ve read that her rates could increase by 30% if she goes more than 30 days without auto insurance, which seems excessive. Is that true? If so, what can we do to avoid this situation without having to buy a car or secure non-owner car insurance?
It’s understandable to be concerned about potential increases in insurance rates, especially when it comes to lapses in coverage. Generally, many insurance companies consider a gap in auto insurance coverage to be risky behavior, which can lead to higher rates if you decide to get insured again later.
While 30% is a common figure mentioned, the exact increase can vary depending on the insurer and state regulations. Here are a few options to consider to prevent rate increases without needing to buy a car or obtain non-owner car insurance:
Check Current Policy: See if her current insurance policy allows for suspension or temporary cancellation without penalties. Some companies offer options for those who don’t drive regularly.
Contact Insurers: Reach out to insurance providers for advice. Some may offer short-term policies or special rates for those without vehicles.
Insure a Family Member’s Vehicle: If her family has a vehicle, inquire if she could be added as a driver to their policy. This doesn’t replace her own coverage but can prevent a gap.
Explore Non-Owner Coverage: While you mentioned not wanting non-owner insurance, it’s often the most straightforward solution for someone who regularly needs to drive but doesn’t own a car.
Consider Rideshare Insurance: If she occasionally uses rideshare services, check with insurers about rideshare-specific coverage.
Stay Indefinitely Insured: If she anticipates needing a vehicle soon, it might make sense to maintain some form of coverage. This can prevent any policy issues later.
Ultimately, discussing these options with an insurance agent can provide clarity and help you make an informed decision tailored to her circumstances.