Can I buy one-day car insurance?

Even if you’re only driving for a short time, you’ll need car insurance for the vehicle that you’ll be driving. While most car insurance providers in Australia don’t provide one-day temporary car insurance, there are ways to get around it.

You might need to borrow a friend’s car to pick something up, or to take a weekend getaway. Maybe you simply need to use a family member’s car while yours is getting repaired. In all of these cases, you’ll need to make sure the car you’re driving is insured.

Can you insure a car for one day?

If you need to drive a different vehicle for a short time and want one-day car insurance, there are very few Australian insurance providers that will provide you with immediate cover only for that duration. Here are some short-term car insurance options that you could consider instead:

One day

If you're going on a day trip or are shifting homes and need car insurance just for a day or two, you may be better off simply renting a car or opting for a car sharing service such as GoGet. These rental cars typically already have basic insurance cover in place, and may offer the option to pay for additional cover during your hire period, whether that’s a single day or longer.

Just keep in mind that if you have an accident in a hire car, you may need to pay a sizeable excess charge, though you may instead be able to pay an upfront fee when hiring the car.  

One week

If you require access to a set of wheels for a full week, you might consider paying for a fortnightly insurance policy. Once you’re done driving and don’t need the policy anymore, simply cancel it.

Monthly

When you’ll be driving for more than a few days or weeks, you can simply opt for any policy that suits your needs offers a monthly payment option. Once you’re done driving, and you don’t need the policy anymore, you can simply cancel it.

Alternatively, if you won’t be driving a lot during a month, you could also consider pay-as-you-drive cover where you only pay for the kilometres that you plan on driving during this time (more on this later).

Getting added to an existing policy

If you’re borrowing a car from a friend or family member who already has an insurance policy in place, you could consider getting yourself added to this policy. Most insurers will allow additional drivers on an existing policy, but this could increase the price of the premium for the owner.

Pay-as-you-drive car insurance

These car insurance policies can be useful for those who don’t drive a lot, but still want the protection that comprehensive car insurance offers. Depending on how often you drive your car, pay-as-you-drive car insurance could save you some money as well.

With pay-as-you-drive, you need to only pay for the kilometres you think you will be driving in a certain period. In most pay-as-you-drive policies, you can also ‘top-up’ your kilometres if necessary.

Many pay-as-you-drive policies have a year-long lock-in period, but you might be able to work out something if you’ll only need the car insurance for a short while.

Why should you apply for short-term car insurance?

You might think that if you’re only taking the car out for a day or two, there’s no real need to insure the vehicle for such a short period. But no period is too brief to be insured for, as there’s a lot at stake when you drive an uninsured car on public roads.

Compulsory Third Party (CTP) insurance is a legal requirement to register a car in Australia. This only covers the cost of injuries caused by your vehicle to third parties, such as other drivers and pedestrians. Any other damage or injuries will require extra insurance cover.

If you get into an accident that’s your fault and you’re not insured, you’ll have to bear the costs of repairing not just the car you were driving, but also anyone else’s property that might have got damaged as a result. Plus, you’ll be liable for any additional expenses like tow truck charges or the cost of a rental. 

Of course, if you’re not at fault, the responsibility of repairs will fall on whoever was. But as we all know, it isn’t always easy to determine who’s at fault in a road accident, and if you share even part of the blame, you will have to dig into your pockets to pay up your share of the costs. 

Who can apply for temporary car insurance?

Any Australian driver with a valid driving licence that permits you to drive anywhere in the country can take advantage of short-term car insurance. Be sure to compare car insurance before you apply, as depending on the option you choose, there may be specific eligibility requirements for temporary car insurance. 

If your relative or friend decides to add you to their policy as a listed driver, you must ensure that you register the right person as the primary driver of the car.

Some insurers may also refuse to give cover to drivers of certain ages, such as those under 18 years, or senior motorists. Check with your insurer for any eligibility requirements that may apply.

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