Temporary Car Insurance in Arkansas

Drivers who own a vehicle in Arkansas and want temporary insurance coverage can buy a six-month policy and cancel it within the first three months for a refund. The average cost for a three-month policy in Arkansas is $297.

If you’re looking to insure your rental car while visiting Arkansas, you can opt for rental car insurance.

MoneyGeek evaluated other situations when temporary car insurance in Arkansas might be necessary, including working for a rideshare company or buying non-owner car insurance.

Individuals may think they need temporary car insurance, but understanding when to opt for it is important since this term may mean different things in different states. In Arkansas, if you own a car, you might want to get full coverage and cancel it early. However, if you don’t own a car, you might be better off with rental car insurance or a non-owner policy.

Insurance companies usually do not sell short-term car insurance for less than six months at a time. In Arkansas, an insurance policy for six months would cost $595 on average. You can cancel your policy before the end of this duration and get a refund for the remaining time.

For instance, if you choose a six-month policy but cancel it after three months, your effective cost would be roughly half of $595 at around $297.

When implementing this strategy, MoneyGeek recommends you ensure there is no lapse in coverage, as this could lead to higher costs later on.

MoneyGeek’s research evaluated average car insurance rates for six-month, three-month and one-month periods from multiple providers.

On average, the two cheapest car insurance companies in Arkansas for drivers looking for a three-month policy are:

• Southern Farm Bureau: $211 per 90 days
• GEICO: $217 per 90 days

Although most insurers refund the entire amount for the remainder of your temporary insurance term, keep in mind that our estimations do not include cancellation fees that insurers may charge.

The best solution if you need to temporarily add or remove coverage in Arkansas is to make alterations to your existing car insurance policy. Short-term car insurance is ideal for families with teen drivers who go away to college, car owners who need to store their car and those who lend their car to another driver.

If you live with your child in Arkansas, they need to be on your auto insurance policy. However, this can be expensive. In Arkansas, the average cost of adding an 18-year-old driver to your insurance policy is $2,680 per year.

To save money, families that have students who live more than 100 miles away can remove them from their policy temporarily, use distant student discounts that some insurers offer or keep them on their policy.

It can be cheaper for drivers in Arkansas to add young drivers to existing policies for two months instead of the whole year. The average cost of adding a young driver for two months is $447, which is roughly $2,233 less than keeping them on for a full year.

Nationwide’s policies help you save the most, at approximately $2,490, when you take young drivers off an insurance policy.

If you are looking to save on insurance costs while your car is being stored, you can either convert your existing policy to comprehensive-only insurance or ask your insurer for a discount.

Coverage with only comprehensive and collision insurance costs roughly $408 per year in Arkansas as compared to a policy that includes liability insurance that costs around $950 per year.

At an average of $663 per year, USAA is the best option for military families. The company also offers storage discounts.

If you let someone in your household drive your car, they should be added to your policy. On the other hand, if you are looking to lend your vehicle to someone who does not live in the same household, you can use your policy to cover them without making any alterations.

If you are renting a car in Arkansas, you can opt to purchase rental car insurance. Although the policies offered by car rental companies may cover only liability insurance, you can add other coverages such as collision waivers, supplemental liability and personal accident insurance. You may need to pay anywhere between $45 to $57 per day to add these coverages depending on the company you choose.

In Arkansas, MoneyGeek’s analysis was based on quotes collected from multiple insurers in Little Rock. You could have to pay $45 to $57 per day for rental car insurance depending on the rental company. For policies with personal accident insurance, supplemental liability and collision damage waiver, Enterprise offers coverage at around $45 a day, while Avis and Hertz cost roughly $55 and $57 per day, respectively.

If you have existing car insurance or a credit card that provides a collision damage waiver or any of the above coverages, you can use these coverages to save money.

Non-owner car insurance may be a good option for drivers who need proof of insurance coverage when filing an SR-22 to get their license reinstated. The average cost of non-owner car insurance in Arkansas is $573 per year.

Non-owner car insurance is the cheapest way to get insurance if you don’t have a car and you need to file an SR-22 in Arkansas.

In Arkansas, MoneyGeek’s analysis was based on quotes collected from multiple insurers in Little Rock. You could have to pay $45 to $57 per day for rental car insurance depending on the rental company. For policies with personal accident insurance, supplemental liability and collision damage waiver, Enterprise offers coverage at around $45 a day, while Avis and Hertz cost roughly $55 and $57 per day, respectively.

If you have existing car insurance or a credit card that provides a collision damage waiver or any of the above coverages, you can use these coverages to save money.

Find out more about the best options and when to choose temporary insurance by reading the answers to some of the most frequently asked questions about temporary car insurance in Arkansas.

MoneyGeek partnered with Quadrant Information Services to collect non-owner car insurance rates from multiple providers in Arkansas to determine average rates based on our methodology. These rates were for a 40-year-old male driver with a clean driving record for full coverage policies that came with comprehensive and collision insurance and higher liability limits (100/300/100). MoneyGeek also calculated rates for an 18-year-old driver while determining the cost of adding a student to an existing policy.

The costs for one-month and three-month policies were determined on a prorated basis without taking into account any cancellation fees that the insurer may charge. MoneyGeek manually collected costs for rental car insurance policies provided by Hertz, Avis and Enterprise using their respective online tools.