Does Car Insurance Cover Theft?
What if it was easy to protect one of your biggest investments all the time?
For many people, their car is their most expensive possession. That’s why good car insurance is so important. This investment needs the best protection that owners can provide.
However, many drivers find out they don’t have the right coverage when their vehicle is stolen. That leads to a big question that affects all drivers: Does car insurance cover theft? If you want to give your sweet ride the protection it deserves, keep reading to discover everything you need to know.
The Basics of Auto Insurance Coverage: Does Car Insurance Cover Theft?
There are multiple kinds of automobile coverage and it can be confusing to know what insurance you need. States like California require liability coverage so drivers can pay for any damage they accidentally cause. And many drivers choose to add collision coverage because this can pay for car repairs no matter who is at fault. In other words, even if you cause an accident, collision coverage will pay to fix your car.
Both of those coverages are important for every driver. However, they come with a pretty big limitation: They don’t protect against the theft of your vehicle. If you want to protect your car from such a threat, you’re going to need to add comprehensive coverage or buy it separately. Having all three types is called full coverage and is the highest level of protection, so you will want to learn how to find cheap full coverage car insurance in California.
You can buy comprehensive alone if your vehicle is vulnerable to theft.
Comprehensive Coverage: Your Shield Against Theft
The short answer to the question “Does auto insurance cover theft?” is only if you have comprehensive coverage. A great way to understand this policy is that it is designed to protect your vehicle from threats that occur even when you aren’t behind the wheel. That is vastly different from liability and collision coverage, both of which are designed specifically with automobile accidents in mind.
If you’re worried about your car getting stolen, comprehensive insurance is a must. It also protects against other unusual threats, including vandalism, storms, and damage caused by hitting an animal. Comprehensive insurance also protects against falling objects like trees and limbs, and that can give you major peace of mind during the storm season.
Limitations and Exclusions: When Does Auto Insurance Not Cover Theft?
When it comes to comprehensive insurance and car theft, there’s good news and bad news. The good news is that such a policy will always cover you if your vehicle is stolen. The bad news is that it won’t cover your personal property if it’s stolen from the car. For example, if someone breaks your windshield to steal a purse or cell phone but leaves the vehicle itself, comprehensive will usually pay for the windshield, but not the property.
In such scenarios, you may be covered by other forms of insurance. For example, if you have renters insurance or a homeowners policy, such theft may be covered. If you’re on the fence about getting a rental policy, knowing that your items are protected even outside the home may be a solid incentive to start getting quotes.
Filing a Claim for Theft: Steps and Expectations
If your car is stolen, the very first thing you need to do is report the theft to the police. It will help them immensely if you can provide the automobile’s plate and vehicle identification numbers, as well as any other unique identifying info (including where certain scratches or dents are located).
Next, you need to alert both the DMV and your insurance company about the theft. This should go without saying, but make sure the information you provide is consistent with your police report.
If any valuable items were in the car when it was stolen, speak with your carrier to see if that theft might be covered by your renters or homeowners policy. If you are leasing the vehicle, you will need to reach out to the leasing company.
After that, all you can do is pay the deductible and hope for the best. With any luck, your automobile will be recovered. Otherwise, your carrier will pay out the claim at the actual cash value, and you will need to begin shopping for another vehicle. The actual cash value can be estimated at a site such as Kelley Blue Book.
Preventing Auto Theft: Tips and Tricks
The old phrase “an ounce of prevention is better than a pound of cure” is quite true when it comes to automobile theft. Sure, comprehensive insurance can help replace your vehicle if it does get stolen. It’s far better, though, if that vehicle is never stolen in the first place.
You can do your part by taking a few easy steps to make your car harder to steal. As an added bonus, anti-theft measures can prevent your insurance rates from going up. Below, you’ll find some quick tips to keep you from ever having to file a claim!
Always Lock the Door
Never leave your car door unlocked. Otherwise, thieves will be able to walk right in and make off with the vehicle.
Be Careful With Your Keys
Never leave the keys in the ignition. If you have a spare, don’t keep it anywhere visible or overly obvious. Otherwise, you’re just inviting someone to drive off with your automobile.
Avoid Parking in Dark Areas
Thieves love to operate in darkness. You can foil them by parking in well-lit areas, though it may take longer to find such spaces when you’re driving in crowded cities.
Never Leave Your Windows Down
No matter how hot it is, you should never leave your window down. Open windows make it easier for thieves to steal your entire car or just quickly snag the valuables inside.
Install Anti-Theft Devices
It’s always a good idea to install alarms as well as anti-theft devices like wheel locks. By making the vehicle too hard to steal, you maximize the odds that a thief will move on to another target.
Install a Tracker
Nobody likes to plan on their car getting stolen. Just in case, though, you should install a wireless or GPS tracking system. That way, it’s easy for the police to track the vehicle down if anyone ever steals it.
Protecting Your Car With Auto Insurance
All drivers should take the above tips seriously to make their rides harder to steal. Just in case the worst happens, though, it’s important to have the best and most affordable coverage. Comprehensive insurance is the best way to financially protect yourself from car theft.
Here at Cost-U-Less, we specialize in protecting California drivers just like yourself from car theft. Ready to experience peace of mind no matter where you drive or park? Call us at (800) 390-4071 or get a fast car insurance quote online. You can also find a Cost-U-Less office near you.
