What happens to the liability and insurance when selling these accounts?

Short Answer: When selling these accounts, the liability and insurance coverage last for one year. If the insurance period is partially used, such as six months remaining, the seller relies on the account operating smoothly for the remainder of that time. Once the insurance expires, Google suspends the account automatically until the new owner renews the insurance under their name.

Full Explanation

The insurance and liability linked to these accounts apply for a fixed duration of one year from the start of coverage. If a seller decides to transfer an account partway through this insurance period, the remaining liability and insurance terms continue to exist but only for the remaining time left—such as six months if that is the remaining coverage.

During this residual period, the seller hopes the account will function without issues, as the insurance is still active. After the insurance term officially ends, Google’s procedures kick in: the account doesn’t remain active indefinitely without coverage.

Instead, Google automatically suspends the account the moment the previous insurance coverage expires. This stops any activity until the new owner steps in. The responsibility then shifts to the new account holder to apply for fresh insurance coverage registered in their name, reactivating the account under proper insurance terms.

Step-by-Step Breakdown

1. Insurance Validity: Insurance and liability are valid for one year from the initial application.
2. Partial Use of Insurance: If an account is sold midway through, the remaining insurance duration still applies (e.g., six months left).
3. Seller’s Position: The seller essentially hopes no disruptions happen during the remaining coverage period.
4. Insurance Expiration: Once the insurance period ends, Google automatically suspends the account.
5. New Owner’s Responsibility: The new owner must apply for insurance in their own name to reinstate the account.

Real Examples

Imagine a seller with an account that has six months of insurance left. After selling, the seller cannot extend or maintain the insurance; they simply hope that the account operates smoothly until that six-month span finishes. When those six months conclude, Google suspends the account until the buyer successfully insures it under their name. This process ensures that liability and insurance are always current and accurate for the active account holder.

Common Mistakes

• Assuming the insurance transfers automatically with the account sale — it does not. The new owner must apply anew.
• Ignoring insurance expiration dates, which leads to unexpected suspensions by Google.
• Seller failing to inform the buyer about the insurance status, causing confusion and service interruption.

FAQs

Q: Does the insurance cover the new owner immediately after purchase?
A: No. The insurance applies only for the original one-year term, and the new owner must apply for their own insurance once the existing coverage expires.

Q: What happens if the new owner doesn’t apply for new insurance?
A: Google automatically suspends the account as soon as the previous insurance period ends, preventing account use.

Key Takeaways

• Liability and insurance coverage last for one year from start.
• Partial insurance time left at sale remains valid, but no extensions apply.
• Google suspends accounts immediately after insurance expires.
• New owners must apply for insurance under their name to reactivate accounts.