How to get car insurance before buying a car?

Why You Need Insurance Before Buying a Car

Purchasing a car is an exciting experience, but before driving it off the lot, you need to have insurance. Most dealerships and private sellers require proof of insurance before completing a sale, and if you’re financing the vehicle, lenders will insist on coverage.

Getting car insurance before buying a vehicle ensures you’re legally covered and avoids potential delays. Here’s how you can secure the right policy in advance.

Steps to Get Car Insurance Before Buying a Car

1. Research Insurance Providers

Before choosing an insurer, compare policies from multiple companies. Look for competitive rates, available discounts, and coverage options that fit your needs.

2. Gather Vehicle Information

If you’ve already chosen a car, you’ll need details like:

• Make, model, and year
• Vehicle Identification Number (VIN)
• Estimated mileage
• Safety features and anti-theft devices

If you haven’t picked a car yet, you can still get a binding quote using the type of vehicle you’re considering.

3. Choose Coverage Types

Different types of insurance provide varying levels of protection:

• Liability Insurance – Required by law in most states, covering damages and injuries to others.
• Comprehensive & Collision – Protects against vehicle damage from accidents, theft, and natural disasters.
• Uninsured/Underinsured Motorist Coverage – Covers you if another driver has no insurance.
• Gap Insurance – Recommended if you’re financing, covering the difference between the car’s value and what you owe.

4. Get a Quote and Purchase a Policy

Once you’ve selected a provider, request a quote and provide necessary information, such as your driver’s license and address. If you’re not sure about the vehicle yet, many insurers allow you to purchase a temporary policy that can be adjusted once you finalize your choice.

5. Obtain Proof of Insurance

After purchasing the policy, the insurer will issue a proof of insurance document, which you’ll need to present to the dealership or lender before driving your new car.

How Much Does Car Insurance Cost Before Buying a Car?

Car insurance premiums depend on factors like your driving record, credit score, location, and the vehicle’s value. Here’s an estimate of average annual costs:

Get the Best Coverage for Your New Car

Securing car insurance before buying a vehicle saves time, ensures compliance with legal and financing requirements, and protects you from unexpected risks.

Get a Free Insurance Quote Now!

Toby Hansen Agency has been helping drivers for over 30 years. We compare nearly 100 insurance carriers to find the best rates and coverage for your needs. Fill out the free quote form below and drive with confidence!