Can I Get Car Insurance Before a Title Transfer?

You can get insurance before the title transfers using a bill of sale, lease agreement, or financing paperwork as proof. Most insurers process this in minutes, and you'll be covered to drive home the same day you buy the car. 

If you already have car insurance, your new vehicle is automatically covered for 7 to 30 days while you officially add it to your policy. You don't need the title to start coverage. If you currently only have liability insurance, you will need to add full coverage to your car if you are financing or leasing.

If you already have a car insurance policy, your new vehicle may be automatically covered the moment you buy it even without title transfer or you can add it quickly to your existing policy.  Here's how it works:

What is a car insurance grace period and how it covers you before title transfer?

Your new car automatically gets the same coverage as your best-covered vehicle on your existing policy. This is called grace period coverage, and it typically lasts 7 to 30 days depending on your insurer. If you're financing the car, the lender requires comprehensive and collision coverage. You will need to be sure your current policy has this coverage, if not, you can't rely on the grace period. 

How do you add your new car to your existing policy before title transfer?

It's easy. Call your insurer with the VIN and tell them you're adding a vehicle. This takes about five minutes. You can do it on the phone or online. Set the coverage to start on your purchase date or whenever you need it.

Some states require insurance proof before title transfer, most don't. Either way, you need insurance before you drive the car. 

If your state requires car insurance for a title transfer: Georgia and Oklahoma are examples of states with stricter rules. You must show proof of insurance when you submit your title paperwork at the DMV.  You will need to get insured before you transfer the title. 

If you state doesn't require car insurance for a title transfer:  Most states fall into this category. Title transfer doesn't legally require insurance proof in your state. But registration does. And you can't legally drive without insurance. So you end up needing insurance anyway. Get it on purchase day and you won't have to think about it.