Temporary Car Insurance In Tennessee For 2024

Ever needed car insurance for a short period, like a weekend trip in a borrowed car or a quick visit home from college? Year-long policies can be too much of a commitment and cost for these situations. That’s where temporary auto insurance can save the day. Though it’s not widely available from U.S. insurers, there are still options.

With my extensive experience in the insurance industry as a licensed insurance agent, I’ll explain why short-term coverage is important and offer tailored options for Tennessee residents. If you’re worried about being uninsured or overpaying, keep reading.

What Is Temporary Car Insurance?

Most insurers offer policies ranging from six to twelve months. Temporary car insurance, in contrast, covers shorter periods—typically less than six months. Given its limited availability in the United States, drivers seeking short-term coverage may need to consider other options, such as choosing a standard six-month policy and ending it before the full term.

Alternatives To Temporary Car Insurance

Different options exist for temporary car insurance, tailored to the specific reasons for needing coverage.

Non-Owner Car Insurance

Meant for Tennessee drivers without their own cars, non-owner car insurance ensures coverage whether you’re driving your car or someone else’s.

Tennessee Pay-Per-Mile Insurance

If you’re not driving often, consider pay-per-mile car insurance over temporary coverage. Unlike regular insurers who charge a fixed rate regardless of mileage, pay-per-mile policies adjust your payments based on how much you drive. This strategy could save you money over time while still providing adequate insurance coverage.

Rental Car Insurance In Tennessee

Several drivers think about temporary car insurance, particularly for rentals. However, you can purchase insurance directly from the rental company, which means you don’t need your own policy. It’s a wise move to get coverage from the rental company because most personal auto policies don’t cover the loss of use of the rental car, which can be expensive.

Rideshare Car Insurance

In Tennessee, there’s a significant presence of Uber drivers, underscoring the need for rideshare insurance. Regular auto insurance policies do not cover accidents that occur while drivers are actively engaged with transportation network companies. Therefore, it’s essential for Uber and Lyft drivers to secure specialized insurance to ensure comprehensive protection for themselves and their passengers. While certain major insurers might provide limited coverage, opting for insurance directly from rideshare companies is advisable.

Buying A Six-Month Tennessee Insurance Policy And Canceling It Early

Almost all car insurance companies offer coverage for either six or twelve months, with shorter durations being uncommon. However, there’s typically no restriction on buying a six-month policy and ending it prematurely.

Altering Tennessee Car Insurance Temporarily Depending On Your Needs

Temporary car insurance allows you to adjust your current policy or purchase a six-month policy with specific coverage if you’re uninsured. Here are instances where these choices can be advantageous.

College Student Away At School

Most college students, around 56%, have cars while attending school, so handling car insurance is fairly simple for them. They can either remain on their parents’ policy or get their own. But what about students who don’t own cars? It might seem they don’t need insurance, but this is not entirely true.

About 1,519 college-aged individuals are injured annually in alcohol-related accidents, including car crashes. If your child needs to stop a friend from driving under the influence, insurance issues shouldn’t be a hindrance.

While insurance typically follows the car, accidents can exceed policy limits, potentially leaving the driver financially responsible. In Tennessee, the liability coverage minimum is $25,000 per person, $50,000 per accident for injuries, and $25,000 for property damage. Even minor accidents can surpass these limits. Keeping your child on your policy or getting a non-owner policy can help address these potential risks.

Storing Your Car

If you have a car that sits idle for portions of the year or long periods, storage insurance provides a helpful option. This insurance allows you to temporarily halt liability coverage on your vehicle, protecting it from specific risks like fire, theft, or vandalism during its downtime.

Many traditional auto insurers include storage insurance in their standard policies, streamlining the process without requiring additional arrangements. Notify your insurer to pause coverage during storage and resume it when you’re ready to drive again.

Letting Someone Else Drive Your Car

Occasionally, you might find yourself in a situation where another person needs to drive your vehicle. Depending on how often they use it, you might need to officially add them to your insurance policy as a driver. If they use it infrequently, they typically fall under the permissive use clause.

This clause, offered by most insurers, is beneficial for emergencies or when you lend your car. It’s important to inform your insurer about household members or individuals with regular access to your vehicle, as they may need to be named on your policy regardless of how often they drive.

Adding Your Child To Your Policy

If your child acquires their driver’s license, you might be reluctant to add them to your car insurance policy because of the costs involved. However, it’s important to list them, even if they won’t be driving frequently. Insurance companies often require you to declare all licensed drivers within your household.

Failure to do so could lead to complications when making claims or even result in policy termination. If they genuinely won’t be driving, you could potentially remove them from your coverage.

International Drivers

Travelers driving internationally can opt for insurance based on their period of stay in another country. Short-term visitors renting cars can obtain insurance through the rental company. For longer stays, it’s advisable to buy a standard auto insurance policy or a non-owner policy. Remember, some insurers may need an International Driving Permit (IDP) or a US driver’s license. Research in advance to ensure you have the correct documents for driving.

Being An Infrequent Driver

People who drive rarely may not feel the need to have their own insurance policy, depending on how often they drive. However, insurance companies usually require most licensed household members to be included in car policies, even if their driving is infrequent.

Many policies also contain a permissive use clause, allowing sporadic driving with the owner’s permission. If you frequently drive cars belonging to others, consider getting a non-owner policy to ensure you’re covered, no matter whose car you’re driving.

Temporary Car Insurance Rates In Tennessee – By Policy Length

The Tennessee Department of Insurance reports that Farmers is the leader in auto insurance. According to our study, it’s also the most expensive for temporary vehicle insurance, whereas USAA provides a more affordable solution.

Temporary Car Insurance Rates In Tennessee – By Insurance Company

Short-Term Auto Insurance Rates In Tennessee – By City

Every year, Tennessee encounters numerous car accidents. Memphis, with its high auto insurance rates, typically has a higher frequency of accidents. In contrast, Chattanooga reports a lower accident rate compared to the rest of the state, resulting in relatively cheaper insurance premiums based on our research.

Average Cost Of Short-Term Car Insurance For Good Drivers

Average Cost Of Short-Term Car Insurance For Young Drivers In Tennessee

Average Cost Of Short-Term Car Insurance After An Accident In Tennessee