Question

I just bought a used car and it is still insured under the previous owner. Am I covered?

The car is still covered under the guy I bought it from and he said he is paid up on the insurance for 2 months. I don't need to buy a policy then until his runs out, right?

Apr 7, 2016 Sioux Falls, SD

Answer
Neil Richardson

Apr 7, 2016

When the ownership of a vehicle transfers from one person to another then the insurance coverage is no longer valid for the new owner. Even though the policy may still be active from the previous owner, you now own the vehicle and are not listed as a driver on the insurance coverage. You would need to immediately purchase a new auto policy once you take possession of the vehicle to properly insure yourself and the vehicle.

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