Behind The Wheel: The Lowdown On Insurance For Test Driving A Car

by Adriana

Planning on buying a new car? It’s best to take a new car for a test drive at the dealership to see if it meets your needs. It not only reassures you that there are no severe problems but also enables dealers to show off the car’s features and capabilities. But is insurance required to take a test drive?

Is Insurance Required To Take A Car Test?

This article answers any questions regarding test drive insurance and why new car insurance is required.

Can Someone Test Drive A Car Without Having Insurance?

All vehicles on Indian roads must have third-party liability insurance, including those used for testing, business, or personal use. Operating a vehicle without insurance can lead to fines and potential jail time. Before test-driving a car, ensure the dealership provides information on the vehicle’s insurance validity. Comprehensive Car Insurance offers superior coverage, including damage to the insured vehicle and third-party liabilities. Dealers usually purchase insurance covering liability claims and injuries while a customer or employee operates the vehicle. Always test drive a car with an active insurance plan to avoid unforeseen liabilities. *

Can You Drive A Used Car On A Test Drive Without Insurance?

Every new or old vehicle, including used cars, must be insured. The required Third-party Liability plan (TP) should be included in the used car’s insurance policy. You may face severe traffic penalties if you test drive a used car without insurance.

Determining the specific coverage of the used car you will be test-driving is always a good idea because car insurance plans can vary. Find out if the used vehicle has the following insurance.

Third-Party Liability Coverage: In the event of an accident while a driver is being tested, the Third-party Car Insurance plan will cover injuries or property damage to a third party. Claims are subject to terms and conditions set forth under the motor insurance policy.

Own Damage Coverage: If an accident occurs during a test drive and the used car sustains damage, Own Damage (OD) coverage pays for repairs or replacement of the damaged parts. It also includes coverage for losses or injuries brought on by theft, artificial disasters, and natural disasters. Claims are subject to terms and conditions set forth under the motor insurance policy. *

Which Car Insurance Does It Cover For A Car Test Drive?

The vehicle dealer’s new car insurance usually protects you if you wish to take a test drive of a newly purchased vehicle. The dealer selling the new vehicle should handle the test drive car’s insurance.

Generally speaking, third-party insurance should be required for the vehicle being tested. For comprehensive coverage, the test-drive vehicle should be insured with comprehensive insurance. It includes vehicle damage and third-party liabilities coverage and offers other car insurance benefits.

What Paperwork Is Required For A Vehicle Test Drive?

A current driver’s licence is the only prerequisite for a test drive in a new or used vehicle (DL). To protect against an accident or liabilities resulting from third-party injury or property damage, the car you are test-driving should be fully insured. To transfer car insurance to a new owner, contact your insurance provider and follow their process for updating ownership details and ensuring continuous coverage.

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*Standard T&C Apply

Insurance is the subject matter of solicitation. For more details on benefits, exclusions, limitations, terms, and conditions, please read the sales brochure/policy wording carefully before concluding a sale.

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