Winter Storage: Insuring Your Vehicle

Winter can be a challenging time for vehicles, with cold temperatures, snow, ice, and slush causing havoc. Some cars are simply not designed to be driven in such conditions, and it makes sense to store them for the winter. But what about insurance? Do you need to keep your car insured while it's in storage?

The short answer is yes. While you may not be legally required to maintain insurance on a vehicle that's not being driven, it's still a good idea to carry some form of coverage. Comprehensive car insurance can protect your vehicle from theft, weather events, and other damage while it's in storage. Without insurance, you'll be responsible for any expenses incurred if your car is stolen, vandalized, or damaged in an accident or weather-related event.

Even if you're not planning on driving your car for a few months, it's generally better to keep your insurance active. Cancelling your policy could result in a gap in coverage, which may lead to higher premiums when you want to reinsure. In some cases, your leasing or financing agreement may require you to maintain insurance as well.

So, if you're planning on storing your car for the winter, be sure to speak with your insurance agent about your options. Reducing your coverage to comprehensive-only can be a smart way to save money while still protecting your vehicle.

Comprehensive coverage can protect against theft, weather events, fire, and vandalism

While storing your car away for winter, it is important to consider the insurance coverage you will need. Comprehensive coverage is an optional coverage that protects your vehicle from damage caused by unexpected events that are outside of your control. This includes theft, weather events, fire, and vandalism.

Comprehensive coverage is an excellent way to ensure your vehicle is protected from various types of damage. While collision coverage protects your vehicle from damage caused by colliding with another vehicle or object, comprehensive coverage focuses on non-collision events. This includes theft, vandalism, glass and windshield damage, fire, accidents with animals, and weather events. By having comprehensive coverage, you can have peace of mind knowing that your vehicle is covered against a wide range of potential issues.

Theft is a common concern for car owners, and comprehensive coverage provides protection against it. Whether your vehicle is stolen or its contents are taken, this type of insurance will help cover the costs associated with the loss. Weather events, such as storms, hail, wind, hurricanes, and snow, can also cause significant damage to your vehicle. Comprehensive coverage ensures that you are protected against these natural disasters and the subsequent repairs needed.

Fire is another unexpected event that comprehensive coverage safeguards against. Whether it's a vehicle fire or a fire that spreads to your car, the coverage will help with the costs of repairs or replacement. Additionally, comprehensive coverage protects against vandalism, which can range from slashed tires to broken windows or paint damage.

It is important to note that comprehensive coverage does not include mechanical issues, maintenance, or repairs. However, it is a valuable addition to your existing policy, providing a layer of protection for your vehicle during winter storage. Be sure to review the specifics of your chosen insurance provider's comprehensive coverage, as the details may vary.

Drop collision coverage if you won't be driving, but check your state's requirements

If you're not planning on driving during the winter, you might consider dropping your collision coverage to save some money. However, it's important to check your state's requirements first, as some states may mandate collision coverage. Even if it's not required, there are other factors to consider before making a decision.

Collision coverage, as the name suggests, covers the cost of repairs if your vehicle collides with another object, such as a tree or guardrail. It is often required by lenders or leasing companies to protect their assets. If your vehicle is paid off, you may choose to drop this coverage, especially if your car's value is low. However, you should consider whether you could afford to cover the cost of repairs in the event of an accident. Collision coverage can provide valuable financial protection in the event of a crash, especially if your car is relatively new or expensive to repair.

Additionally, consider your driving habits and history. If you're a safe driver who's not likely to cause an accident, you may decide the coverage isn't necessary. On the other hand, if you frequently drive on dangerous roads, the added protection of collision coverage might be worth the cost.

It's also important to weigh the potential insurance payout against the cost of coverage. Consider your vehicle's value, the deductible amount, and the potential insurance payout. If your car's value is low and your deductible is high, the insurance payout may not be worth the cost of the coverage.

Ultimately, the decision to drop collision coverage depends on your specific circumstances and your state's requirements. Carefully consider your options and the potential risks and costs before making any changes to your insurance policy.

Avoid a lapse in coverage to prevent higher premiums when you reinsure

When storing your car for the winter, it is important to consider your insurance options carefully. While it is not a legal requirement to maintain insurance coverage for a car that is not being driven and is in storage, there are several reasons to avoid a lapse in coverage.

Firstly, even if your car is not in use, there is still a risk of it being stolen, vandalised, or damaged in an accident or weather-related event. Without insurance, you will be responsible for any resulting expenses. Comprehensive coverage can protect your stored vehicle from theft, weather events, and more. It is also the only way to ensure coverage if your car is damaged while in storage, for example, if a tree falls on your garage.

Secondly, a lapse in coverage may result in higher premiums when you want to reinsure your vehicle. Insurers may classify you as a high-risk driver, which can lead to higher rates and some companies may even decline to insure you. The exact increase in rates will depend on the insurer and the length of the lapse in coverage. For example, a lapse of 30 days or less could result in an average rate increase of 8-9%, while a lapse of more than 30 days could lead to an average increase of 35-48%.

To avoid a lapse in coverage, consider the following:

• Maintain comprehensive coverage: This will protect your vehicle from most types of damage it could suffer while in storage.
• Suspend collision coverage: Since your car will not be driven, you can drop this portion of your policy to reduce costs. However, be aware that without collision coverage, you will not be protected in case of hit-and-run damage.
• Discuss options with your insurance provider: Talk to your provider about any discounts or adjustments that can help keep your premiums affordable.
• Reinstatement of lapsed policy: If your policy has only been inactive for a few days, some providers may be able to reinstate your coverage without penalising you for the lapse.
• Avoid driving uninsured: Driving without insurance is illegal and can result in stiff fines, suspension of your license and registration, and even jail time in some cases.

Check your lease agreement—you may need to maintain full coverage

When storing a car for the winter, it is important to check your lease agreement to see if you need to maintain full coverage. While it is not a legal requirement to have insurance coverage for a car that is not being driven and is in storage, lease agreements often require full-coverage insurance. This is because leasing companies want to ensure that the car is adequately protected in the event of theft, damage, or an accident.

Full-coverage insurance typically includes comprehensive and collision coverage, which pays for damage to your car resulting from a collision with an object or vehicle, as well as damage caused by weather events, theft, or vandalism. While comprehensive coverage is typically an optional add-on for regular car insurance policies, it is often required for leased vehicles. This is because the leasing company wants to protect their investment and ensure that the car can be returned to its pre-crash state in the event of an accident.

In addition to comprehensive and collision coverage, leasing companies may also require higher liability coverage than what is mandated by the state. This includes bodily injury liability coverage, which pays for medical expenses for other people in the event of an accident, and property damage liability coverage, which pays for damage to other people's property.

It is important to carefully review your lease agreement to understand the specific insurance requirements and ensure that you are adequately protected. Failure to maintain the required insurance coverage may result in penalties or even termination of the lease. By maintaining full-coverage insurance, you can have peace of mind knowing that your leased vehicle is protected during the winter storage period.

Without insurance, you'll be responsible for any damage that occurs in storage

While it is not legally required to insure a vehicle that is not being driven and is in storage, it is still beneficial to maintain at least comprehensive coverage. Without insurance, you are solely responsible for any damage, theft, or vandalism that occurs to your vehicle while in storage.

Comprehensive coverage is the closest thing to storage insurance for vehicles. It protects your car from various types of damage it could suffer while in storage, such as weather-related damage caused by wind, hail, hurricanes, or fire. It also covers you in the event of theft or vandalism. For instance, if a tree falls on your garage during a storm and crushes your car, comprehensive coverage will have you protected.

Similarly, for items stored in a storage unit, the owner or tenant is typically responsible for any damage that occurs. Storage unit insurance can provide financial protection for your possessions in case of theft, vandalism, or weather damage. While some homeowners or renters insurance policies may cover off-site items, it is often limited and may not provide sufficient coverage for your stored belongings. Therefore, without insurance, you are at risk of incurring the full cost of any damage that occurs to your stored items.

To summarise, whether storing a vehicle or personal belongings, insurance is highly recommended to safeguard against unforeseen events. Without insurance, you will be held financially responsible for any damage, theft, or vandalism that occurs during the storage period.

Frequently asked questions