Although you might be able to arrange for monthly payment cycles, trusted insurance providers usually only offer policies in six-month or one-year increments.

You cannot get short-term car insurance and quickly canceling a policy isn’t a good idea

Like one-day coverage, a short-term car insurance policy is generally unheard of. If you happen to find an auto policy that offers short-term coverage for less than six months, it is likely to come with high rates that could easily offset the benefits.

It is possible for you to purchase a six-month or one-year policy and then cancel it once you are done driving. However, we do not recommend this. Here’s why:

Depending on the provider you choose, you could face costly cancellation fees.

If you cancel your policy and don’t purchase a new one until a later date, auto insurance companies might charge you a fee or hike up your car insurance costs because you have an insurance lapse on your record.

A history of repeatedly canceling insurance policies could result in major insurers refusing to cover you.

When you purchase a new policy, sometimes your coverage might be limited for a certain amount of time. If you are involved in an accident during this time, your insurer may not allow you to file a claim.

Alternatives to one-day car insurance

When you don’t drive often

If you don’t drive all that much, you might want to try pay-per-mile insurance, also referred to as usage-based or pay-as-you-go insurance. With a pay-per-mile policy, you’ll pay a base car insurance rate along with a surcharge for every mile you drive.

Pay-per-mile insurance is not recommended if you drive more than 10,000 miles a year, as your insurance premium will change every month and you might end up paying more than you would with a standard car insurance policy.

If you truly don’t drive that often, some providers estimate a pay-per-mile policy could save you up to 40% a month on insurance costs.

When you’re borrowing a friend or family member’s car

In most cases, if a friend or family member has permitted you to drive their car, their policy will at least partially cover you. However, if you are in an accident in a borrowed car, you could be on the hook for

property damage liability

bodily injury liability

, and the

deductible

There are a couple of ways to ensure you have the required minimum coverage when you drive a vehicle that you don’t own:

If you borrow the car frequently, you could ask your friend to add you as a driver on their policy.

If you only borrow the vehicle on occasion or borrow different cars from different people, you might want to consider taking out a

non-owner policy

. This policy will provide bodily injury liability and property damage liability coverages. You can add additional coverages to some non-owner insurance policies as well.

Learn more:

Adding a driver to your car insurance: What will it cost?

When you’re driving a rental

If you have a standard auto insurance policy, it likely provides adequate

rental car insurance

. Most policies will extend their regular terms to include the use of rental vehicles, so you only have to purchase additional coverage from a rental car company if you want to supplement the coverage you already have. However, it’s always a good idea to check with your insurance provider to make sure your existing coverage applies to your specific rental situation.

If you’re renting a car and you don’t have an existing car insurance policy, you can take out a collision damage waiver, or a CDW, with your rental car provider. A CDW is the most comprehensive insurance coverage that rental car companies provide. While it usually isn’t cheap, it does fill in almost all the coverage gaps that rental car insurance leaves out—it will also cover the car for as long as you're renting it.

The cost of a CDW will vary depending on the rental car company you choose, but you can expect to pay somewhere between $10 to $30 a day.

Pro tip: It’s also a good idea to contact your credit card company to see if they offer any coverage for rental cars.

When you’re test-driving a car

If you’re test-driving a car, there’s no need to worry about car insurance coverage. Dealerships are legally required to provide

full coverage

on the vehicles they’re selling.

This means you will be covered regardless of whether you have an existing policy or not while test-driving a car from a dealership.

However, once you purchase a vehicle, the dealership will require you to have

your own insurance

in place before you drive a new car off the lot.

Keep in mind: Private sellers are not under the same obligation to provide insurance on the vehicles they sell, so make sure that there is insurance coverage in place before test-driving a vehicle that is not from a dealership.

Learn More:

How to test drive a car

When you’re driving a car that was in storage

Even if a car is in storage, it should always be insured. If the vehicle is a

classic or antique model

that you don’t actually drive,

comprehensive coverage

might cut it as long as the car is parked on private property.

Storage coverage

is also an option.

If you decide to start driving the car or take it out on occasion, you’ll want to bump your coverage up to a standard insurance plan in case you get in an accident.

Most states will legally require a minimum amount of basic

liability insurance

. You will also need to meet the minimum state insurance requirements if you park your car on public property.

What happens if you don’t have car insurance?

It is illegal in every state to drive without proof of financial responsibility—usually in the form of car insurance.

Driving uninsured

—even for a short time—is risky, especially if you are involved in an

at-fault accident

. Here are some consequences you might face:

You could be sued for bodily injury and property damage.

You might be designated a high-risk driver, which makes it hard to find

cheap car insurance

coverage options.

Even if you don’t get in an accident, if you’re caught driving without your

state’s legal minimum car insurance coverage

, you could face fines of up to $5,000. Your car might also be towed at your expense and the infraction could be recorded on your driving record. Many states will even monitor vehicles electronically to keep track of anybody who is driving without insurance.

Your driver’s license could be suspended.

The bottom line is, it is never a good idea to drive without insurance, even if you are just taking a vehicle out for a few hours. The potential costs just aren’t worth the risk.

How to find cheap auto insurance

Jerry

might not be able to find you one-day car insurance, but it can help you find a cheap policy that works for you—plus, it can usually get you

same-day coverage

. Jerry will compare car insurance quotes from dozens of providers using your profile and vehicle information—then, you can adjust coverage levels, finalize your new car insurance policy, and access your proof of insurance right in the app.

Hit the road to savings with Jerry!

Compare car insurance quotes hassle-free.

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FAQ

Can I buy daily or monthly car insurance?

No. Not unless you are taking out insurance on a rental car. Reputable car insurance companies do not offer one-day policies.

Should I consider non-owner car insurance?

Non-owner insurance

might be a good option if you drive relatively often and tend to use different vehicles rather than your own car. People who often use car-sharing services might also want to consider non-owner car insurance.

What is the shortest term for car insurance?

A six-month policy. Non-owner insurance, rental car insurance, and pay-per-mile policies are temporary auto insurance options, though.

Meet our experts

Hillary Kobayashi

Hillary Kobayashi is an insurance writer and editor specializing in insurance and finance topics. Hillary’s mission is to use her knowledge and love of education to help car owners better understand how they can save time and money on car ownership. The articles Hillary has published for Jerry span topics from state-specific bill of sale requirements to SR-22 insurance information.

Prior to joining Jerry, Hillary spent over ten years in education at Pacific University and the University of Oregon.

Sarah Gray

Licensed Insurance Agent — Expert Insurance Writer and Editor

Sarah Gray is an insurance writer with nearly a decade of experience in publishing and writing. Sarah specializes in writing articles that educate car owners and buyers on the full scope of car ownership—from shopping for and buying a new car to scrapping one that’s breathed its last and everything in between. Sarah has authored over 1,500 articles for Jerry on topics ranging from first-time buyer programs to how to get a salvage title for a totaled car.

Prior to joining Jerry, Sarah was a full-time professor of English literature and composition with multiple academic writing publications.