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Does my vehicle insurance coverage have to extend beyond the licence period that I am applying for?

The vehicle must be insured at the time that the renewal licence application is submitted. However, it is not necessary for the insurance coverage submitted to cover the entire time period of the licence. It is permitted for insurance policies to have different expiry dates than those of the vehicle licence but any vehicle being driven within the Cayman Islands must have insurance coverage under the Traffic Act and the Motor Vehicle (Third-Party Risks) Insurance Act.