Do I need to repurchase insurance if it hasn't expired when transferring car ownership?
4 Answers
No, you can transfer the insurance to your name at the insurance company where the original owner purchased the policy. Relevant information is as follows: Car Insurance: Car insurance mainly consists of compulsory traffic insurance and commercial insurance. Compulsory traffic insurance is mandatory but has low coverage limits. Commercial Insurance: Commercial insurance is optional and mainly includes the following types: Vehicle Damage Insurance - covers repair costs for your own vehicle due to collisions; Third-party Liability Insurance - covers compensation for death, injury or property damage caused by accidents involving both parties; Non-deductible Special Clause - covers the deductible portion that should be borne by the insured according to the policy terms.
I remember helping a friend with a car title transfer last year. His insurance still had over six months left, and we thought it could be used directly. However, when we went to the DMV to complete the procedures, the staff reminded us that the insurance was tied to the original owner. We had to contact the insurance company to update the information or transfer it to the new buyer. I immediately helped my friend call the insurance company, and they requested the new owner’s ID and the transfer certificate. After filling out a form, they updated the policy name without requiring a new purchase, saving us some money. If we hadn’t informed the insurance company, any accident after the transfer might have invalidated the insurance, leading to complications and risks when filing claims. It’s advisable to check the original insurance policy terms before transferring to see if transfers are allowed. Addressing this promptly avoids driving with uncertainty—ensuring both safety and cost savings.
Hey, I ran into this same situation recently—the car was just transferred, and the original insurance still had a few months left. Don’t rush to buy new insurance right away; you might end up wasting money! Usually, you can just contact the insurance company to transfer the policy to the new owner by updating some basic details. But remember, insurance is tied to the owner’s identity. If you don’t update the name after the transfer, driving the car is essentially driving uninsured. Not only could you get fined if the police check, but you’d also be on the hook for any accident damages. First, check the original insurer’s policy online—some allow online updates and can be done in a day. If not, visit their office in person. Don’t gamble with daily driving—sort out the insurance during the transfer to save yourself hassle later.
From my understanding of automotive knowledge, insurance is a critical point during vehicle transfer. If the original insurance hasn't expired, it doesn't necessarily need to be repurchased because the insurance follows the car, but the insurance company needs to update the owner's information. I once helped a neighbor with this process. After the transfer, we contacted the insurance company and provided the new owner's documents, and the policy continued to be valid without additional costs. If the information isn't updated, the insurance company may refuse claims in case of an accident, which carries significant legal risks. Before transferring ownership, check the insurance documents to confirm if they can be transferred; if not, the new buyer should promptly purchase new insurance. Don't delay on small matters—safety comes first.
