The process of searching for a new car can be stressful at times. You may spend hours going through listings online. You may face obstacles traveling to different car dealerships and trying to negotiate a fair price. While these are stressful situations, you must stay focused. When you lose focus, you can overlook the basics. However, one thing that you should not forget while searching for a new car is to contact your insurance company and let them know about the purchase. Failure to notify your insurance company about the purchase can cause you to lose full car insurance coverage. Here is a look at how long do you have to get insurance after buying a used car in Texas.
In Texas, the new car insurance grace period is generally within 2 to 30 days. This implies that any insured driver can drive a newly purchased car for 2 to 30 days before adding it to their existing car insurance policy. However, each company handles this differently, and the type of coverage your call will have can vary as well. If you do not have an existing policy, you will be required to present proof of minimum liability coverage before you can drive your new car on Texas roads.
There are no state laws governing the period within which you can switch your existing car insurance to a new one. Therefore, the time within which you can notify your insurance company of your car purchase will also range from 2 to 30 days. Each insurance provider can set its own grace period, so make sure to contact your insurance agent to learn more about your coverage needs and the relevant grace period. It is also important to find out what coverage is, and is not, automatic on a new purchase.
Most insurance providers will allow you a grace period of 7 to 30 days if you are replacing your existing covered car for a new car. The new coverage will be the same as the one you are replacing in terms of type and amount.
If you never had a car before and are buying your first one, you must have at least the minimum liability coverage to be able to take it out on the roads. Make sure to call your insurer and enroll in a policy first, even if you are purchasing your new car from a private seller.
When looking for your next auto insurance , turn to the Lone Star locals at Reata Insurance Group. From San Antonio to Beaumont, Amarillo to Houston, we serve Texas motorists with the quality car insurance they need and deserve.
Purchasing insurance on a new car will come with a grace period of around 20 days in the state of Texas depending on your provider. Coverage will depend on whether or not the new vehicle is an addition or a replacement car.
Texas does not legally require the name on a car's registration to match the name on its insurance policy. You're specifically allowed to have insurance in your name and the car's title in your spouse's name if your spouse is also a listed driver on the insurance policy.
Texans who buy a used vehicle from anyone other than a licensed vehicle dealer are required to pay motor vehicle sales tax of 6.25 percent on the purchase price or standard presumptive value (SPV), whichever is the highest value. SPV applies wherever you buy the vehicle, in Texas or out of state.