Cheap Temporary Auto Insurance in 2025 (Top 10 Low-Cost Companies)

Companies such as Erie, Safeco, and State Farm offer the most affordable options for drivers looking for cheap temporary auto insurance. From renting a car to borrowing a friend’s vehicle when yours is in the shop, there are plenty of reasons why people need temporary car insurance. Unfortunately, no reputable company sells month-to-month car insurance.

Instead, you can buy a standard policy that lasts six months and cancel it when you no longer need it. You can also consider alternatives to a standard policy, such as rental car insurance or usage-based auto insurance.

Our Top 10 Company Picks: Cheap Temporary Auto Insurance

The best temporary auto insurance for you depends on your situation. Find the best auto insurance company near you by entering your ZIP code into our free quote tool above.

#1 – Erie: Top Overall Pick

Pros

• Coverage Options: Erie offers full coverage auto insurance as well as minimum coverage options.
• New Car Replacement: Erie provides your car’s actual value rather than a diminished value. You can learn more by reading our Erie auto insurance review.
• High Credit Score: Erie has an A+ rating with A.M. Best, which is a superior rating.

Cons

• Availability: Not available in all states.
• Add-Ons: There are additional costs for certain insurance features.

#2 – Safeco Insurance: Cheapest for Discounts

Pros

• RightTrack Program: Usage-based insurance program that offers discounts based on driving habits. Learn more by reading our Safeco auto insurance review.
• Discount Options: There is a wide variety of discounts available for drivers.
• Accident Forgiveness: Prevents your insurance policy from increasing in price after your first accident.

Cons

• Low Customer Service Reviews: Negative user experiences with customer service representatives.
• Claim Issues: Customers experience problems with valid claims and consistently unfair settlements.

#3 – State Farm: Cheapest for Young Drivers

Pros

• Drive Safe and Save: Allows drivers to save up to 50% off depending on usage.
• Program for Young Drivers: The Steer Clear app provides a discount for drivers under the age of 25. Learn more by reading our State Farm auto insurance review. 
• Most Affordable Rates for Good Drivers: Full coverage ranks one of the lowest for good drivers.

Cons

• Policy Pricing: Expensive month-to-month car insurance.
• Limited availabilty: Not available in all states.

#4 – Travelers: Cheapest for Good Drivers

Pros

• Availability: You can purchase Travelers auto insurance in all states.
• Wide Variety of Discounts: There are over a dozen different discounts available. You can learn more by reading our Travelers auto insurance review.
• Low Complaint Scores: Above average claim handling and customer service.

Cons

• No SR-22 Options: Travelers does not offer coverage for high-risk drivers.
• Raised Rates: The IntelliDrive app will raise your rates if you’re a risky driver.

#5 – Progressive: Cheapest for Experienced Drivers

Pros

• High-Risk Drivers Save: Affordable rates for drivers with less than perfect driving records.
• Snapshot App: Progressive Snapshot allows drivers to save money based off their driving habits.
• Financial Strength: Progressive has an A+ with A.M. Best. You can learn more by reading our Progressive auto insurance review.

Cons

• Complaints: There are mixed reviews for both Progressive customer service and claims handling.
• High Rates for Teens: Younger drivers will pay more.

#6 – American Family: Cheapest for Students

Pros

• Affordable Rates: American Family auto insurance is lower than average.
• Variety of Options: Numerous coverage and discount options. 
• KnowYourDrive Program: Provides a discount to drivers based on driving habits. Learn more with our American Family auto insurance review.

Cons

• Below average reviews: Poor reviews for both customer service and handling claims.
• Availability: Auto insurance not offered in every state.

#7 – Nationwide: Cheapest for Drivers with Poor Credit

Pros

• Excellent Reviews: High satisfaction rates for customer service.
• Poor Credit Options: Credit scores affect auto insurance rates.
• Available Rates for Teens: Young drivers can save money. Learn more by reading our Nationwide auto insurance review.

Cons

• Higher Rates for DUIs: Drivers with DUIs will pay more.
• Poor Claim Handling: Claims denied or take longer than expected.

#8 – Farmers: Cheapest for Bundled Policies

Pros 

• Signal Discount: Tracks driving behaviors and will award a discount based on what is monitored.
• SR-22 Availability: Drivers that need SR-22 auto insurance can get it from Farmers.
• Claims Handling: Many drivers are satisfied with the resolution of their claims. Learn more by reading our Farmers auto insurance review. 

Cons

• Low Availability: Not available in all states
• Higher Rates After Accidents: Drivers with a single ticket will see higher rates

#9 – Allstate: Cheapest for Accident-Free Drivers

Pros

• Cash Back for Safe Drivers: If drivers go six months with no accidents, Allstate will send them a check.
• Claim Satisfaction Guarantee: For low settlements Allstate will pay a portion of the difference. Learn more with our Allstate auto insurance review.
• Stable Financial Rating: Allstate has an A+ rating with A.M. Best.

Cons

• High Priced Rates: Allstate policies are more expensive than the average auto insurance.
• Low Availability: Auto insurance not currently available in all states.

#10 – Liberty Mutual: Cheapest for Loyal Drivers

Pros

• Availability: Auto insurance available in all 50 states and Washington DC.
• RightTrack Program: Monitors drivers and provides discounts based off their driving habits.
• Coverage Options: Liberty Mutual offers a range of extra protection including accident forgiveness. Learn more by reading our Liberty Mutual auto insurance review.

Cons

• Poor Claim Satisfaction: Drivers report lower than average claim satisfaction.
• High Rates for Teen Drivers: Younger drivers will pay more for auto insurance.

Temporary Auto Insurance Explained

Erie, Safeco, and State Farm offer the cheapest temporary auto insurance as long as you purchase a six month policy and cancel it when you no longer need coverage. Most drivers need long-term car insurance, but you might find yourself in a situation where you need coverage for a short period. However, short-term or temporary car insurance doesn’t exist — any company that advertises otherwise might be a scam.

 

Instead, insurance companies offer policies in six-month or one-year terms. So if you need insurance for a limited time, you can sign up for a standard policy and cancel it when you no longer need it.

You can also consider alternatives to regular car insurance, like a pay-per-mile policy or non-owner auto insurance. Whichever you choose, check for cancellation fees before signing up for a policy. Many large insurance companies don’t charge an early cancellation fee, but some do.

Comparing Temporary Auto Insurance Rates

When looking for cheap temporary car insurance, buying a six-month minimum coverage policy is a solid option. Insurance rates depend on various factors, but you can check the average annual cost of liability car insurance in your state below.

Minimum Coverage Auto Insurance Rates by Provider

You might notice a significant difference in insurance rates between states. Most state auto insurance requirements affect how much your coverage costs. Other factors like traffic, crime rates, and extreme weather risks can also increase your rates.

When You Might Need Temporary Auto Insurance

Most drivers need continuous coverage for their cars, but there are a few times when weekly car insurance or auto insurance for two weeks might be best.

Consider finding a temporary solution for car insurance in these situations:

• You plan to borrow someone’s car for a few days. However, if you’re taking a car for a few hours, the owner’s insurance will likely cover you.
• A friend or relative loans you a car while yours is getting repairs.
• You plan to rent a car for an extended period. Buying insurance from the rental company is usually an easier option.
• You and a friend plan on sharing driving responsibilities on a long road trip.

Most drivers don’t need short-term auto insurance as there are usually better solutions. For example, a friend or relative can alert their insurance company that you’re temporarily using their car, giving you coverage on their policy. 

How to Get Temporary Auto Insurance

Since you can’t buy car insurance by the day, you’ll need a standard car insurance policy. The purchasing process is the same as if you were buying regular coverage, though you’ll cancel the policy when you no longer need it.

Most car insurance policies are sold in six-month units, though you can also find one-year plans. When you buy a policy, you can make monthly car insurance payments or pay for everything upfront.

Once you no longer need insurance, you can cancel your policy. If you decide to pay for your policy upfront, your insurance company will refund you for the unused portion. Most large insurance companies don’t charge a cancellation fee, but you should double-check.

If you plan to keep your insurance for more than a week, setting a reminder to cancel can prevent you from paying for more insurance than you need. While you can get a quote and sign up for insurance online, you’ll probably have to speak to an insurance representative to cancel. Find an auto insurance company agent in your area to learn more. 

Alternatives to Temporary Auto Insurance

Buying a standard car insurance policy might not be your best option when you need car insurance for a month.

Depending on your situation, consider the following alternatives to buying short-term car insurance:

• Rental Car Insurance: If you rent a car infrequently, consider buying the rental company’s coverage.
• Non-Owner Car Insurance: Standard car insurance follows the vehicle, not the driver. Non-owner auto insurance covers you, offering coverage on any vehicle you drive.
• Join An Existing Policy: A parent or guardian can add young drivers to an existing family policy. You can join a parent or guardian’s policy even if you’re living away from home for school.
• Pay-Per-Mile Insurance: While it’s not short-term insurance, you can save money on your coverage by choosing usage-based insurance. With pay-as-you-go auto insurance, you pay for insurance by the mile.

With so many options to find insurance that meets your temporary needs, it’s easy to feel overwhelmed. However, there’s no need to stress — an insurance representative can help you sort through your options and pick the right coverage.

The Bottom Line on Finding the Best Temporary Auto Insurance

While you won’t find genuine short-term car insurance, you have plenty of coverage options and types of auto insurance. Whether you choose non-owner insurance or decide to cancel a six-month policy when you’re ready, finding affordable temporary auto insurance coverage doesn’t have to be a challenge.

No matter which type of insurance you choose, the best way to find affordable coverage is to compare rates with as many companies as possible. Use our free comparison tool below to see what auto insurance quotes look like in your area.