Is it necessary to purchase insurance for a used car by oneself?
3 Answers
Insurance for a used car is similar to that for a new car. After the vehicle is transferred, the insurance follows the transfer, and the insurance renewal can be processed directly with the insurance company where the policy is held. The original owner usually cancels the commercial insurance but retains the compulsory traffic insurance, as the compulsory insurance cannot be canceled in principle. After cancellation, the new owner can re-insure with any insurance company. Below is additional information: 1. Transfer of used car insurance: The transfer of used car insurance mainly involves two methods—changing the policy details or canceling the existing policy and obtaining a new one. The former involves changing the insured and owner while keeping the insurance content unchanged. The latter involves canceling the original car insurance and paying the premium for the period from the start of the policy to the cancellation date. 2. Reasonable purchase of insurance: One of the reasons buyers choose used cars is to save costs, and the selection of car insurance should follow this principle. When insuring a used car, owners should not blindly purchase insurance but should eliminate coverage that is meaningless for a used car. However, they should not just go for the cheapest option; it should be based on their actual needs—what suits them best.
After purchasing a used car, you indeed need to handle the insurance yourself. When I bought my used car, the previous owner reminded me that his insurance couldn’t be directly transferred and had to be canceled. I contacted the insurance company immediately after completing the transfer at the vehicle management office, bringing my new vehicle license and ID to process it on-site. Compulsory traffic insurance must be purchased on the same day; otherwise, the vehicle management procedures can’t be completed. For commercial insurance, I opted for third-party liability insurance and vehicle damage insurance, deliberately skipping glass insurance since it’s unnecessary for an older car. I recommend comparing quotes from several insurance companies before the transfer to secure better rates and avoid penalties for driving uninsured.
Used car insurance must be purchased anew by the buyer and cannot directly use the original policy. I learned this the hard way when buying a used car—I had to rush to find an insurance company on the same day, which wasted a lot of time. Compulsory traffic insurance is government-mandated; without it, the vehicle cannot be driven on the road. Commercial insurance can be chosen based on personal needs. For example, as an experienced driver, I only opted for basic third-party liability insurance, saving money by skipping comprehensive coverage. Additionally, it's worth noting that insurance costs are related to the vehicle's age. I recommend comparing quotes from multiple companies on mobile apps and checking for any outstanding traffic violations, as unresolved violations can significantly increase premiums.
