Car insurance is protecting your car against potential risks or uncertainties. It is getting the car insured against risk that might harm the car or the driver. It is a setup in which the person pays to the insurance company that is called the insurance premium and in return, the company covers for potential risk against the car. In case any damage happens to the car, the insurance company pays for it either partially or fully which depends upon the amount of insurance cover.
Most people get the insurance done in their names to get insured against risk. But the most frequently asked question is that – can I get a one day insurance or can I insure a car not in my name?The answer to it is thatsometimes, it is not necessary to get the insurance done in your name. Though, it is understandable that people get insurance to get protected against possible expenses that may occur if the car is involved in an accident. But in some situations, the person gets insurance in the name of someone else as well.
The most common reason to get insurance done in name of someone else is maybe that person drives the car frequently. Someone may get the insurance done in his name even though the car is in the name of someone else. The possible reason for this is when this person drives the car frequently. There are possible chances for this person to get involved in an accident as he is the frequent driver of that car. If this person does not get the insurance done, he might get involved in unnecessary financial obligations and legal aspects. It is better to get the insurance done so that such obligations do not arise.
In most countries, usually, it is legal to hold insurance even if the person does not hold the car in his name. But it is best to once ask the local authorities to get accurate information before getting into any contact with any insurance company. Another thing is that even if it is legal to get the insurance done in the name of the person who does not own the car, there can be a burden on the car owner as well. When the car owner wants to sell the car, he has to cancel the existing insurance policies to transfer the title of the car. The person who took insurance in his name even if he does not own the car, that policy has to be canceled as well. This results in extra steps for the owner to transfer ownership and includes more financial charges as well.
Other alternatives instead of getting the insurance done are, adding the name to the registration deed. It is possible in some cases that the person who wants to get the insurance done can also see if it is possible to add the name in the registration deed. Another alternative is getting the registration transfer in your name. It depends that whether transferring the registration is easy or not upon the location where you are located. The other option can be to get added to the insurance policy of the owner. The person has to convince the owner to add his name to the insurance policy. It is his choice whether he wants to add the person to his policy or not. The last resort is as we know to get the non- owner policy done.
So this was all about how to get the insurance done even when you do not own the car.