Yes, you can get temporary car insurance in Ontario, but it's not typically sold as a standalone "temporary" policy. Instead, you obtain short-term coverage through a standard auto insurance policy that you can cancel early, often by paying a short-term cancellation fee. The most common scenarios involve short-term policies for newly purchased vehicles or non-owner policies for renting cars.
When you buy a new or used car, your dealer will provide a temporary permit, but you must secure insurance before driving off the lot. You can purchase a standard six-month or one-year policy and then cancel it after a short period if you only need the vehicle temporarily. Insurers will charge a fee for early cancellation, which is how you effectively pay for the short-term coverage.
For renting a car, your options are different. Your existing personal auto policy may extend coverage to rental cars, but it's crucial to verify this with your insurer beforehand. If not, you can purchase a non-owner's policy, which provides liability coverage for someone who drives but doesn't own a vehicle. Alternatively, you can buy coverage directly from the rental car company at the counter.
| Scenario | How to Get Temporary Coverage | Key Considerations |
|---|
| New/Used Car Purchase | Purchase a standard policy, then cancel early. | Cancellation fees apply; varies by insurer. |
| Renting a Car | Use existing policy extension, buy non-owner policy, or purchase from rental company. | Rental company coverage is convenient but can be expensive. |
| Borrowing a Friend's Car | You are usually covered under the car owner's policy as a occasional driver. | Confirm with the owner's insurer; regular use may require you to be listed on their policy. |
| Driving a Stored Vehicle | Suspend coverage (fire/theft only) and reactivate temporarily. | The vehicle cannot be driven while coverage is suspended. |
It's essential to shop around, as cancellation fees and short-term policy options differ significantly between insurance providers. Always be transparent with your insurer about your intended use to ensure you have the right protection and avoid coverage gaps.
