A Guide to Temporary Car Insurance and Short-term Car Insurance

It's illegal to drive a car in the UK without insurance. Even if you don't own a car, you may want to borrow or rent a car for a day or two. You may also be looking to lend someone else your car. In such cases, how do you make sure that your car is road-legal, and what's the best way to get insured? Temporary car insurance (or short-term car insurance) may be the best solution in these situations. Here, we go through everything you need to know about these types of car insurance.

By Gumtree Editorial Team

21 June 2021 6 min read

What is temporary car insurance?

Temporary car insurance, or short-term car insurance, can be used when you need to use a car for a short amount of time. When you need to use a car that you’re not usually insured to drive, a temporary car insurance policy offers flexible comprehensive coverage. It’s a simpler (and possibly more affordable) option than altering your existing insurance policy – or altering someone else’s policy to add you as another driver.

When would I need temporary car insurance?

A short-term car insurance policy is ideal in several situations

Touring and holidays. If you plan on sharing the driving during a long trip, you may need insurance to drive someone else’s car.
Borrowing. Car hire and van hire can be expensive. If a friend is willing to lend you their vehicle for a day, say to move some furniture, temporary insurance will cover you while you use their car.
Test drive. For short test-drives, you’re likely to be covered by the car dealership. However, if you’re planning to test the car for a more extended period, you can get short-term insurance.
Learning to drive. If you’re learning to drive using a family car, you can get temporary insurance for young drivers.
Emergency car insurance. Things come up, often unexpected. If you need to use a car in an emergency, you can quickly insure yourself for the day.

When shouldn’t I use temporary car insurance?

If you and someone else plan to share your car in the long run, you can simply add a named driver to your existing insurance policy. This is likely to be far cheaper than getting short-term cover.

Due to the continuous insurance enforcement (CIE) rules, classic car owners and other occasional-use drivers can’t simply take out temporary car insurance each time the car is in use. Even if it’s safely put away in the garage most of the time, you’ll still need a continuous insurance policy. If you’re not planning to use your car at all, you can register a SORN (statutory off road rotification) if you don’t want to pay for insurance. It’s also worth noting that there are restrictions on how many times you can take short-term car insurance in a year.

How does temporary car insurance work?

Only a few temporary car insurance policies offer third-party cover. Comprehensive temporary car insurance cover is identical to what you’d get on a comprehensive annual policy. With most temporary car insurance, a key benefit is that in the event of a claim the main insurance on the vehicle remains unaffected. However, it’s good to check the fine print to see if your policy covers this.

Temporary car insurance can cover you anywhere between one hour and 28 days. Some can even extend up to six months. However, if you need insurance for a month or more, it will often be cheaper to get annual cover and cancel it once you don’t need it.

Who can get temporary car insurance?

You’ll likely struggle to get temporary car insurance if you are:

21 years old or younger
75 years or older
A new driver
Have motoring convictions or pending prosecutions

Can I drive abroad with temporary cover?

Many insurance policies offer to cover you for driving in Europe for a small additional fee. You can also buy specific temporary European car insurance, which may be a good option if that’s the only driving you plan on doing in the near future.

How can I get cheap temporary car insurance?

There are a number of factors that affect the cost of short-term insurance policies, including:

Your age
Your location
Your driving and insurance history
The type of vehicle you’ll be driving

Here are some tips to ensure you get a good deal:

Pay extra voluntary excess. This will show the insurer that you won’t bother making small or frivolous claims.
Avoid add-ons. You might not need the additional cover required for driving in Europe, for example.
Choose smaller, less powerful cars that are placed in lower insurance groups.

Alternatives to temporary car insurance

Pay-as-you-go insurance is specifically designed for ‘high-risk’ drivers, such as young or previously convicted drivers. Here, you pay a flat rate and an additional premium for every mile driven. This could be a good fit for you if you don’t want to declare the car as off the road and will only drive it occasionally.

For most drivers, in most situations, a standard annual insurance policy is what you need. But short-term car insurance is a quick, simple solution if you want to use a car for only a few hours or days. To know more about car insurance, tax and MOT, visit the Gumtree advice hub.

View all Expert Advice