Alberta General Insurance Level 2 License Practice Exam

Under the Standard Policy Form, temporary coverage for a newly acquired automobile is provided for a duration of 14 days. This provision is designed to offer immediate protection for individuals who have purchased a new vehicle and have not yet had the opportunity to formally add it to their insurance policy. The rationale behind this temporary coverage is to ensure that policyholders have a sufficient grace period to arrange for the proper insurance documentation without leaving themselves exposed to potential liability or loss during the transition. After the 14-day period, the vehicle must be formally added to the policy to maintain coverage.