Insurance when buying a private party car.

by Guest » Wed Oct 29, 2008 12:43 am
Guest

I am in all likelyhood going to buy a used car from a private party. How does insurance work in this situation? I can't get insurance without owning the car, yet I am going to have to drive it about 200 miles to get it home, which is very risky without insurance. Will my current insurance cover the new car? Will the old owner's insurance cover it (assuming it has not lapsed)? Do I need to get it insured ASAP or do I have some leeway?

Total Comments: 4

Posted: Wed Oct 29, 2008 01:43 am Post Subject:

Do you have auto insurance in force now? If so, you will be covered for any car you drive.

If not, get the vehicles information (VIN, etc) and get vehicle insurance before you pick it up. The agent can make the policy effective for any date (you will pick the car up Saturday but call the agent tomorrow. He/she can make it effective Saturday).

Posted: Wed Oct 29, 2008 08:30 am Post Subject:

Be it a first hand car or used car you're required to maintain the state liability level on the car. Contact an insurance agent to determine the insurance requirement. Its true that you can't obtain the policy before you buy the car but have to get one before you can drive it out of the dealer's shop. Now, if you know ahead what type of car you'd purchase you may give the agent the details.

You can also add the car with all relevant information to your existing auto policy.

Posted: Wed Oct 29, 2008 09:00 am Post Subject:

Often times the dealer can help you in finding a policy if you don't have an agent. but its better to establish the relationship with the agent before hand to avoid complications, since many of the insurers will not insure you over the phone but would require you to visit their office personally.

Make sure that you don't drive the vehicle without the coverage. It'd attract severe financial and legal complications if you meet an accident without coverage.

Posted: Wed Oct 29, 2008 02:40 pm Post Subject:

What state are you in phemm? I can contact someone for you.

This is really very easy for you to do.

Add your comment

Image CAPTCHA
Enter the characters shown in the image.