Short Period Insurance

What Does Short Period Insurance Mean?

Short-period insurance refers to a policy that provides coverage for less than a year, and it can be as short as a single day. This type of insurance is typically used by drivers who are operating a vehicle insured under someone else’s name, providing temporary coverage for the duration of their use.

Insuranceopedia Explains Short Period Insurance

Short-period insurance, also known as short-term insurance, provides coverage for a brief period, including as little as one day. Some companies may offer it for up to 28 days. It is typically sold by car insurance companies.

This type of insurance is purchased in scenarios such as when a driver wishes to use a vehicle owned by someone else and wants to be insured while driving it, when a person wants a new car insured while their long-term policy is still being processed, or when someone lends their car to another person who is not named in their policy.