What would insurance companies choose if they were given a choice between selling daily car insurance or regular term car insurance policies? It can confidently be said that insurance companies would prefer to sell regular term auto insurance policies as it would reduce their workload to a large extent. Insurance companies would prefer to sell short term car insurance policies only to those that did not have a car and could only drive with a car that was borrowed or rented from a car rental agency. Under all other circumstances, insurance companies would only be interested in selling regular term car insurance.
Insurance companies may never have visualized that owners of vehicles would look to cut down on the costs of auto insurance premiums by cancelling regular insurance policies and choosing to purchase short-term car insurance. They may also have taken into account that a short-term car insurance policy would cost more, when people started using them on a regular basis. However, insurers were proved to be wrong in this matter as people chose to cut down on full term auto insurance and purchase only insurance policies for short durations.
Insurance companies would have no objections to sell daily car insurance to those that wanted to drive a car belonging to someone else. However, they would not be interested to sell such policies regularly to people that use their vehicles, quite often. Representatives of insurance companies would suggest to such people that they would be better off by purchasing regular term auto insurance policies. They would try to make people understand that the costs of would prove to be far more expensive than regular auto insurance policies. However, if people insisted on purchasing daily car insurance, the companies would have no options but to go ahead and get the policy issued. Insurers would definitely like to have a majority of their clients purchasing regular term auto insurance policies. This does not mean that they would not be interested in selling daily car insurance at all.