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When you buy a vehicle, you might be wondering when you need to grab insurance to go with it.  This really depends on if you already have your own insurance or not. If you do, you may have a bit of a grace period offered by your insurance company to pick up the vehicle and drive it around. However, if you do not, you are going to need to get insurance for the vehicle immediately. Either way, before setting foot in your vehicle, you should be giving your insurance company a call.

Do I Need Insurance Before I Buy A Used Car?


No, you do not technically need insurance to buy a used vehicle. The only thing that you technically need insurance for is to drive the vehicle around. If you just want to buy a vehicle and tow it home, you should have no issues. Where you could potentially run into trouble is picking up a car from a dealership. A dealership has its own insurance, but if they were to sell a car and let someone drive away without insurance for that vehicle, they might be held partially accountable. Luckily, a dealership will be able to tell you exactly what you need to do to purchase a vehicle.

Why Is Car Insurance Mandatory?


Car insurance is mandatory due to the damage that a car is capable of causing. When you drive a car, you drive at a high rate of speed. The higher the speed of an accident, generally, the more potential there is for something deadly to occur. When damage is done, people often don’t have enough money to be able to pay for the damages.  This is the main reason why everyone has to have liability coverage. It really doesn’t take much for the cost of property damage to be severe and you don’t have to injure someone else all that bad either to owe them a large sum of money. An insurance company can cover this high of a cost, but the average person can’t. Due to this reason, there is mandatory auto insurance.

What Kind Of Insurance Do I Need When I Buy A Car?

No matter where you buy insurance in Canada, you are going to need some kind of liability coverage. However, beyond that, you just need to make sure you have the minimum requirements for your province. So long as you have the mandatory coverage, you are legally allowed to drive on the road. However, you might decide that you want a little bit more coverage than that. If that is the case, you can pay a little bit of a higher premium in order to have collision coverage and coverage for damage not caused by vehicular accidents through comprehensive insurance coverage.

How Long Are Car Insurance Grace Periods?

When you have your own insurance plan already, your insurance provider might have a grace period. This grace period allows you to be able to pick up a vehicle without worrying about not having coverage. Depending on your provider, you may or may not have comprehensive and collision automatically on a new vehicle if you buy it. Generally, a grace period will last anywhere from a week to a month-long. During this time frame, you need to contact your insurance company to get a real insurance policy in place for your new vehicle. Outside of this time period, if you haven’t called your insurance provider yet, you are technically driving without insurance.

How Do I Get A Car Insurance Quote For A New Vehicle?

It is easy to be able to get a car insurance quote for a new vehicle. Generally, once you purchase the vehicle and have the ownership in hand, that is all you will need to get a quote. If you want a rough idea as to how much it is going to cost you before you get the ownership in your hands, you can do that as well. However, you are likely going to need some information such as the make and model of the vehicle. Generally, the more information you can give the insurance company beforehand, the lower the quote will be.

Can I Drive A Car Before It Passes A Safety?

Yes, you should have no problems being able to drive a vehicle before it passes a safety. In Canada, you can drive a vehicle so long as it is registered and you have insurance on it. You are allowed to register a vehicle in Canada temporarily for a period of 10 days before getting a safety done on it.  After this time frame, unfortunately, you are going to have to have safety done on the vehicle in order to be able to drive it on a road.

Can You Purchase Car Insurance Online?


There are times when you might find you need instant automotive insurance coverage. This type of coverage is expensive as there is a larger risk to the insurance provider. However, there are some companies that do offer it. Although it might not be exactly instant insurance, it is probably the closest thing that you can get. To be able to purchase your insurance online, you can expect to input the same information that is normally asked by your provider. Next, you will be asked to pay for the policy. After the payment has been processed, you should be able to print off a piece of paper containing your policy information, which acts as proof of your insurance coverage.

To Conclude

Especially if you buy a new vehicle, the cost of car insurance can be quite large. However, this is just a price that you are going to have to suffer through. Everyone in Canada has to legally have car insurance. To drive a vehicle at all, no matter how new it is, you need to get insurance coverage. On top of that, you also need to make sure that you have the proper plates and car registration. Once you have all of these things set and ready to go, then you should be able to drive your new vehicle. Until then, you still have some work to do.

About the Author: Ashley Miller

Ashley is an insurance content professional and very knowledgeable on all related subjects. Ashley has over 12 years of insurance content writing experience working with various insurance companies throughout her career.