Buying a Vehicle as a Gift – Car Insurance & Other Factors to Consider

Giving your son or daughter a car for their 18th birthday or purchasing a vehicle for your partner on your anniversary is an amazing way to tell someone you love them. You can place one of those big red bows on it and the recipient will be over the moon when they realise it is for them. But buying a car for someone else takes a lot of time and there are many important factors to consider.

Insurance for the Recipient

There is no point in paying for a new car as a gift if you are not going to have it insured for the driver. If you need quotes on instant car insurance policies, the quickest and most convenient place to look is online. There are plenty of online insurance brokers who can look after your request that day and come back with a quote within hours. Once you know the driver’s profile and type of car you are buying, you can arrange insurance on the day you purchase the gift.

Whether you pay for the insurance policy is up to you, but it is a nice touch when buying a new vehicle. Either way, the car should be insured before it leaves the lot.

If the driver does not have existing coverage, you have two main options.

  1. Insure the car online before you leave the dealership.
  2. Arrange insurance with the dealership as part of the contract.

Some insurance companies will transfer insurance for a short period if you already have coverage with them.

Type of Car

A car accident can happen anywhere, so it is vitally important to consider the level of the driver and the insurance they need when purchasing a vehicle. If you are thinking of getting a car for a young driver, you may want to consider something less powerful. Cars with smaller engines are also easier to get insured, especially when purchasing auto insurance for drivers under 25.

If the gift is not a surprise you can bring them along to the dealership. On the other hand, if you want it to be a surprise, make sure you get the correct car they want.

Budget

We would all like to splash the cash on a top of the range model when buying a gift for an anniversary or birthday. But we must consider our budget when we start to look at automobiles. On some occasions, it makes more sense to invest in a used car instead of a new model. If you want to keep the gift a secret and you share a bank account with your significant other, you will probably have to pay in cash.

One of the most important things to consider when buying a car as a gift is insurance. There is no point in having a new vehicle if it cannot be driven off the lot on the day you reveal it to the recipient. Try to be creative when giving the gift and do not make it too obvious.