Car Insurance For One Month?

Reader’s Question:

Is it possible to buy car insurance for just a month or so? Can I do that?

Francis

Los Angeles CA

Many insurance companies propose insurance for six or twelve- month terms but you don’t need to fully pay this at the start. Ideally, one only does a down payment then pays the rest on the succeeding payments. The requirement on the minimum down payment differs per state, but is 25% of the policy premium most of the time.

You can buy insurance for the shortest term offered and ask for it to be cancelled after a month. Most of the time, you will have to write a letter in order to make this request. In some cases, you will have to supply additional information and may be asked for an early cancellation fee if you do the cancellation mid-term. For some states, they do have pro-rated cancellation refunds.
For those states with mandatory insurance laws entail proof of other coverage or evidence that there is no insurable interest, such as when one opts to sell the car, or if one moves the car out of the state just to cancel within a particular amount of time, which is usually 60 days.