Does Car Insurance Need to Be Transferred When the Car Changes Ownership?
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After a car changes ownership, the insurance also needs to be transferred. Otherwise, in the event of an accident requiring a claim, the original owner would still need to be involved in the claim process. Generally, compulsory insurance is retained during the transfer, while commercial insurance is usually canceled. Here are several scenarios regarding the handling of car insurance: Car Insurance Expired: In this case, the owner can simply renew the insurance, so there is no issue of transferring the insurance. Requesting Changes to Car Insurance Information: This involves changing the policyholder, the insured, the vehicle owner on the registration certificate, and the new license plate number after the transfer. Required documents include the original policy invoice and insurance decal from the previous owner, the vehicle transfer transaction invoice, the property registration certificate or vehicle registration certificate, and the IDs of both parties involved in the transaction. Both parties should bring the above documents to the original insurance company to process the changes. Repurchasing Insurance: Terminate the previous car insurance contract and repurchase new insurance. This requires the original owner to bring the original policy invoice and ID to the original insurance company to cancel the policy, after which the insurance company will refund the remaining premium. The new owner can then bring the new vehicle registration certificate, vehicle transfer transaction invoice, ID, and other documents to the insurance company to repurchase car insurance.
