Auto Insurance: Pothole Damage Covered?

Potholes can cause damage to your tires, rims, suspension, steering, and alignment systems. The good news is that, yes, auto insurance can cover pothole damage—but only if you have collision coverage. Collision coverage is an optional add-on to your standard auto insurance policy and covers damage to your car resulting from a collision with an object, such as a pothole, lamp post, or guard rail. Comprehensive coverage, on the other hand, does not cover pothole damage. While potholes typically cause only minor damage, hitting one can mess up your vehicle's alignment or suspension.

Collision coverage

Pothole damage is covered by auto insurance, but only if you have collision coverage. Collision coverage is an optional part of a standard auto insurance policy. It covers damage to your car resulting from a collision with an object, such as a pothole, lamp post, or guard rail, or another car. It also covers damage caused by flipping your car over. However, collision coverage does not cover wear and tear to your car or its tires due to poor road conditions.

If you have collision coverage, it may be worth filing a claim if you have significant damage to your vehicle. You should get an inspection from a licensed mechanic and obtain two or three estimates. Once you have an estimate for repairs, you can determine whether it makes financial sense to file a claim.

If you do not have collision coverage, you may still be able to receive reimbursement for pothole damage from the government or agency responsible for maintaining the road where the pothole is located.

Comprehensive coverage

Pothole damage is typically covered by auto insurance, but only if you have collision coverage. Collision coverage is an optional part of a standard auto insurance policy and covers damage to a car resulting from a collision with an object, such as a pothole, or another car. Comprehensive coverage, on the other hand, does not cover pothole damage. It covers incidents other than collisions, such as auto vandalism, hail damage, theft, flooding, and damage from fallen objects, such as trees.

While collision coverage can pay for pothole damage, it may not be worth filing a claim if the damage is minor. This is because collision coverage is generally sold with a deductible, and the higher the deductible, the lower the premium. In other words, you will have to pay the deductible amount before your insurance provider contributes to the repair costs. Therefore, if the repair costs are lower than your deductible, it is more practical to pay out of pocket.

For example, the average collision deductible is $500, and the average repair cost for pothole damage is $306, so filing a claim doesn't make sense in this case. However, some pothole damage can be more expensive and exceed $1,000, especially if it involves damage to the suspension, steering, or alignment. In such cases, it is recommended to get repair estimates from two or three licensed mechanics before deciding whether to file a claim.

It is also important to note that collision coverage does not cover normal wear and tear on a car or its tires due to bad road conditions. There must be a specific instance of pothole damage. Additionally, if you have custom rims, collision coverage may not cover their damages, and you may need separate custom parts coverage.

Reimbursement from the city

If you're seeking reimbursement for pothole damage from the city, the first step is to identify which government body is responsible for the road where the pothole is located. This could be your city, county, or state department of public works, transportation, or another department. The reimbursement process can vary depending on the jurisdiction, so it's important to check the relevant department's website or contact them directly for specific information on their reimbursement policy and process.

In some cases, cities or states may have specific requirements or forms that need to be submitted for a reimbursement claim. For example, in Chicago, drivers must submit a claim form, a receipt for damage repair, or two written estimates. The city's small claims team will then review the application and determine whether to approve the claim. In New York City, the city will only accept liability for property damage if written notice of the hazard was given and the city failed to repair it within 15 days.

It's important to note that not all jurisdictions provide compensation for drivers whose cars are damaged by potholes, and the reimbursement process can be lengthy. Additionally, the compensation model for pothole damage claims typically considers both the responsibility of the road conditions and the driver's ability to avoid the hazard. Therefore, it may be more practical to file an insurance claim or pay for the repairs out of pocket, especially if your vehicle is not drivable.

To support your reimbursement claim, it's recommended to gather as much documentation as possible. Immediately after the incident, take photos of the pothole, the surrounding area, and your vehicle. Note the location, time of day, and weather conditions. Contact the non-emergency police line to report the incident and have a police report filled out. If possible, gather estimates for the repair costs to determine whether it's worth pursuing a claim. Keep in mind that the time and effort needed to obtain reimbursement may outweigh the benefits, especially for minor damage.

Liability insurance

Pothole damage is usually covered by auto insurance, but only if you have collision coverage. Collision coverage is an optional part of a standard auto insurance policy and covers damage to a car resulting from a collision with an object, such as a pothole, lamp post, or guard rail. It is important to note that collision coverage does not include wear and tear to a car or its tires due to poor road conditions.

If you hit another car or a pedestrian due to a pothole, liability insurance will cover you. Liability insurance is required to drive legally in every US state except New Hampshire. It covers injuries that the policyholder or designated driver causes to someone else.

When filing a claim for pothole damage, it is important to note that the repair costs must be higher than your deductible, as the claim may not be practical otherwise. The deductible is the amount that you must pay before your insurance coverage begins. The higher your deductible, the lower your premium.

If the pothole is on a city street, the city may be responsible for the damage, and you may be able to get reimbursed. However, the reimbursement process can be lengthy, and it may be more practical to file an insurance claim or pay for the repairs yourself and then seek reimbursement from the city. County and state governments may also offer reimbursement for pothole damage on roads they manage.

Filing a claim

If you've hit a pothole and are considering filing a claim, it's important to first assess the damage. Potholes typically cause only minor damage, such as a flat tire or a bent rim. However, in some cases, they can also affect your vehicle's alignment, suspension, or steering system. If the damage is minor, it may not be worth filing a claim, as it could be more trouble than it's worth and may even increase your insurance rates.

To file a claim, you'll need documentation. Take photos of the pothole, the surrounding area, and the damage to your vehicle. Note the location, date, time, and weather conditions. It's also a good idea to contact the non-emergency police line to report the incident and have a police report filled out.

If you have comprehensive coverage, it's important to know that this type of insurance does not cover pothole damage. For this, you'll need collision coverage, which is an optional add-on to your standard auto insurance policy. Collision coverage covers damage to your car resulting from a collision with an object, such as a pothole, guard rail, or another car.

When you file a claim under your collision coverage, you'll pay a deductible, and your insurance will cover the remaining repair bill. Deductible amounts can vary depending on your insurer, so check your policy's declarations page and online account to see if you have collision coverage and what your deductible amount is.

In some cases, you may be able to seek reimbursement from the government agency responsible for maintaining the road where the pothole was located. This could be your city, county, or state department of public works or transportation. The reimbursement process can be lengthy, so you may need to pay for the repairs upfront and then file for reimbursement later.

Frequently asked questions