Does a transferred vehicle need to be insured as a new car?
3 Answers
No, it does not need to be insured as a new car; simply transfer the insurance. Insurance transfer: For used cars, not only does the vehicle need to be transferred, but the insurance also needs to be transferred. Insurance transfer is a crucial step in buying and selling used cars. There are two ways to handle the insurance policy: First, change the policy holder. After completing the vehicle transfer procedures, the new owner can bring the transfer receipt, a copy of the vehicle license, the original insurance policy, the new owner's ID card, and the original insurer's ID card to the insurance company to fill out a transfer application form to complete the insurance transfer. Second, apply for a policy cancellation. The owner will need to pay the premium from the start of the policy to the cancellation date, and the insurance company will refund the remaining amount. After cancellation, the new owner can choose a new insurance company to re-insure the vehicle. Important notes: In used car transactions, if only the vehicle is transferred but the insurance is not, and an accident occurs after the transaction, the owner may be denied compensation when filing a claim with the insurance company.
As a car enthusiast with over 20 years of driving experience, I know that insurance for a transferred vehicle doesn't need to be purchased like for a new car. The core of auto insurance lies in the actual value assessment of the vehicle, not its newness. After a car is transferred, its value usually drops significantly, and insurance companies calculate premiums based on real data such as the vehicle's age, mileage, and accident history. Therefore, you don't need to opt for the expensive comprehensive insurance packages designed for new cars. The key is to purchase mandatory compulsory traffic insurance, which is required by law. For commercial insurance like third-party liability coverage, choose according to your personal risk assessment. As for vehicle damage insurance, if the car is old or in average condition, you can skip it to avoid wasting money. My advice is: after the transfer, first get a free quote from an insurance company—they'll give you a market-based price range to ensure the premium is reasonable and fits your budget. Regular vehicle inspections can also prevent potential risks, helping you avoid unnecessary expenses for minor issues. Remember, safe driving is the priority; insurance is just a backup.
I'm the type with strong financial awareness, always wanting to get the most value for every penny when buying a used car. When it comes to insurance, there's really no need to follow the high-end coverage options of a new car. After the car is transferred, its value depreciates, and insurance companies will base their rates on the actual valuation, not the original price of a new car. For example, compulsory traffic insurance is a must and costs a few hundred yuan; other commercial insurances like third-party liability can be flexibly chosen based on your driving habits and the car's condition—no need to go for full coverage. I've compared quotes from several companies and found that insurance premiums for transferred cars are generally about 20% lower. In daily driving, paying attention to maintenance of parts like tires and brakes can reduce the risk of accidents, thereby saving on insurance costs. If you don't drive often or only commute in the city, a more simplified insurance plan will suffice. The key is not to be misled into spending more—the essence of insurance is to cover basic risks.
