Do you need to keep insurance if car is part of an estate?

Answer 1

If the estate is not yet closed and the vehicle has not been transferred to a beneficiary, it is generally a good idea to keep the physical damage coverage intact. In fact, it may be considered to be part of the fiduciary duties of the Personal Representative (Executor) to do so so as to preserve the value of this asset of the estate.

If the vehicle will be operated in the interim by someone, you should most definitely contact the insurance agent for guidance. It may be that the insurance policy addresses the issue of whether or not the liability coverage remains in force for a period of time after the insured's death, but the insurance agent is the best source of information. Alternatively, the person who will be operating it may be able to have the vehicle placed on his/her auto policy, or the existing policy may be able to be endorsed to show the (temporary) operator of it as an additional insured.