Is it acceptable not to transfer insurance when transferring vehicle ownership?

[OKyle]

It is not acceptable to transfer vehicle ownership without transferring the insurance, as it may lead to many troubles. Even in the event of an accident, the insurance company may refuse to settle the claim. Therefore, if the vehicle ownership is transferred, it is best to transfer the insurance as well. The original owner and the new owner only need to bring their valid ID cards, insurance policy, new vehicle registration certificate, driving license, transaction receipts, etc., to the insurance company to complete the insurance transfer procedures. The documents required from the original owner for a used car transfer include: registration certificate, driving license, and ID card. The buyer needs to provide an ID card, and if they are from another city, a residence permit or temporary residence permit is required. First, a vehicle evaluation is required for the transfer of ownership. The evaluation fee is generally 1%-2% of the evaluated vehicle price, and other fees include license plates, driving license, etc. The original commercial insurance of the vehicle can be canceled (compulsory insurance cannot be canceled), or the insurance can be transferred to the buyer at the insurance company. Precautions when buying a used car: Incomplete procedures. Complete procedures for a used car include: vehicle registration certificate (or original purchase invoice), driving license, vehicle purchase tax payment certificate, road maintenance fee procedures, and compulsory insurance. If the vehicle registration certificate or driving license is missing, or if there are arrears in compulsory insurance or road maintenance fees, it will bring endless trouble to the buyer. Therefore, when buying a car, if the seller cannot provide complete procedures, consumers should be especially vigilant. Tampering with the odometer. Most consumers like to judge the condition of the car by the odometer, and sellers often take advantage of this psychology to tamper with the odometer. In fact, the odometer is not only a record of usage intensity but also a recorder of the maintenance and replacement of other parts of the vehicle. If the buyer performs maintenance according to the tampered odometer display, it will bring a series of potential safety hazards. New paint covering "external injuries". When consumers choose a used car, if the car has been repainted and there are traces of repair around the front face, rear, and A, B, C pillars, the car may have been involved in a major accident. "Tuning the heart" to raise the price. Many consumers often pay too much attention to the "heart" of the car when buying a car and ignore the health of the car body. Used car sellers take advantage of this psychology of consumers by replacing engine parts to make the vehicle's "heart" appear younger, thereby raising the price.

[McLawson]

Last time when I helped a friend with the vehicle transfer, I encountered an insurance issue. You absolutely cannot skip transferring the insurance during a vehicle transfer. Vehicle insurance is tied to the owner—if you only transfer the vehicle but not the insurance, it's like the new owner is driving without any coverage. If an accident happens and a claim is filed, the insurance company can outright deny it because the insured person's information won't match the registered owner's details. Plus, the previous owner could still be held liable. For example, if the new owner causes an accident while drunk, the insurance company might come after the original owner. During the transfer, both parties must bring the original insurance policy and their ID cards to the insurance company's service branch to complete the endorsement process, which is usually done on the spot. Never believe what car dealers say about insurance automatically following the car—that's just a sales pitch.

[DeBlakely]

After going through two vehicle transfers, I found that insurance is the most prone to pitfalls. Now, transfers require the insurance to follow the vehicle. If the insurance isn't transferred, the DMV won't process your paperwork. Compulsory traffic insurance must be transferred, while commercial insurance can be canceled and repurchased if you don't want to transfer it. However, repurchasing means losing the renewal discount. A friend of mine skipped the insurance transfer for convenience and got stuck for two months during a rear-end collision claim because the system still showed the original owner's name. I recommend bringing the policy and registration certificate to the insurance company's counter on the day of the transfer, spending half an hour to change the policyholder and beneficiary to the new owner.

[LeRhett]

Last year when I transferred ownership of my own car, I specifically consulted insurance professionals. Vehicle ownership transfer and insurance changes must be carried out simultaneously. Compulsory traffic insurance is mandatory to follow the vehicle transfer, while commercial insurance can be negotiated between both parties. If the insurance is not transferred, the most direct impact is that the new owner cannot renew the insurance, and in the event of an accident claim, there will be complications in determining the responsible party. A friend of mine once encountered the unpleasant situation where the insurance company refused to compensate on the grounds of 'not being a party to the contract'. The actual operation is not complicated; both parties can spare half a day to go to the insurance company with the vehicle registration certificate, transaction invoice, and identity documents, and all change procedures can basically be completed in half an hour.