There are many reasons you might want temporary car insurance in Ontario. Perhaps you’ll be living in the province for a very short time, only drive during the summer months, or are in the process of selling a currently-uninsured vehicle. Whatever the case, keep reading to learn about your options when it comes to short-term car insurance in Canada’s most populous province.
Can You Get Temporary Car Insurance in Ontario?
The short answer is no. A standard car insurance policy term in Ontario lasts one calendar year. While a handful of companies do offer six-month policies, this is unfortunately atypical. Receiving coverage for shorter terms is pretty much unheard of.
This isn’t just Ontario-specific, either. You’ll have a hard time purchasing temporary car insurance in Canada as a whole, generally speaking. British Columbia is an outlier as its government-run ICBC Autoplan does offer terms as short as a single day. You can also read more about what happens to car insurance when you are moving to another province.
However, temporary auto insurance in Ontario is unfortunately not an option in that same sense.
You’re not completely out of luck, though. Keep reading for a look at your options.
Options for Short-Term Car Insurance in Ontario
Canceling Your Policy Early
One approach to obtaining temporary car insurance in Ontario involves simply canceling an annual or six-month policy early. One thing to be aware of here, however, is that many insurers charge early cancellation fees.
As such, be sure to minimize your obligation if you go this route. A Surex advisor can help you find a policy that comes with minimal cancellation fees; start a quote to get in touch. Also, if you happen to live in Scarborough, you can check out car insurance in Scarborough, Ontario as well.
You should also be aware that canceling your car insurance without having another policy ready will cause what’s known as a lapse in coverage. Many insurers will charge you higher premiums for lapses lasting even a single day, which could make for a nasty surprise the next time you go shopping for a policy.
Renting a Vehicle
If your stay in Ontario is short enough to make even a six-month policy excessive, renting a vehicle is an option worth considering. Most rental companies offer insurance for the duration of your booking.
Your credit card may also come with rental car coverage but make sure any such policy applies to your intended usage of the vehicle. The same goes for receiving short-term rental coverage through your existing car insurance policy; if you have a personal policy on your primary vehicle in another province but plan on driving commercially while in Ontario, you may not be fully covered.
Also, keep in mind that the cost of a rental car with insurance may become nonsensical past a certain point. At the two-month mark, for example, you may end up spending upwards of $2,500 for even the most basic of vehicles. That’s more than you’d typically spend on car insurance for a whole year! Do the math before counting on this as a plan for your transportation in Ontario.
Adding Your New Vehicle to an Existing Policy
If you have an insured vehicle elsewhere, you may be able to receive temporary insurance for the car you plan on driving by adding it to your existing policy.
You’ll have the option of specifying coverage for the additional vehicle as well. This means you can eliminate costlier options such as comprehensive insurance if the vehicle you’ll be driving in Ontario is a cheaper, used model you own outright.
One major advantage of adding a new car to your existing policy is that it’s generally cheaper than taking out completely separate insurance. You may even receive a multi-car discount.
Have the Buyer Insure the Vehicle Before Pickup
One common scenario in which people seek temporary car insurance is when they’re selling a vehicle and plan on driving it to the buyer.
For ultra short-term coverage like this, it may be more convenient to have the buyer add the vehicle to their policy instead. All they’ll need from you is the VIN and basic information about the car to do this.
Depending on the policy, you may still be able to drive the car to them once it’s insured. Make sure you contact the insurer first to see if there are any extra steps required (i.e. adding you as a secondary driver), though.
Modifying Your Coverage During Non-Driving Stretches
Here’s one final option to consider concerning temporary car insurance in Ontario. If you live in Ontario year-round but only drive during a specific stretch of the year, consider modifying your coverage during the non-driving months.
For example, you can reduce accident and liability coverage to lower your monthly premium substantially. This will reflect the lower risk level of your driving habits during these periods.
