While many people are aware of the common coverage provided by vehicle insurance, such as repairs after a collision or liability for bodily injury, there are several surprising things that your car insurance policy may cover, provided you bought the corresponding coverage. These lesser-known coverage options can offer additional financial protection and allow you to customize your policy according to your needs. Let’s explore some of these unexpected benefits:
- Rental car reimbursement: If your vehicle is being repaired due to a covered claim, your policy may include coverage for the cost of renting a replacement vehicle during the repair period. This ensures that you have a means of transportation while your car is being fixed.
Example: Suppose you were involved in a covered accident, and your car needs extensive repairs. Your insurance policy may cover the expenses associated with renting a car until your vehicle is fully repaired, if you have Rental Car Reimbursement coverage on your policy.
- Rodent damage to your automobile: Rodents like mice and squirrels can cause significant damage to your car’s electrical system by chewing through wires. Surprisingly, many auto insurance policies provide coverage for such rodent damage under the comprehensive coverage.
Example: If mice chew through your car’s wiring, causing electrical problems, your insurance policy may cover the repairs, saving you from expensive out-of-pocket expenses.
- Roadside assistance: Many vehicle insurance policies offer optional roadside assistance coverage, providing services like towing, battery jump-starts, fuel delivery, tire changes, and locksmith services. This can be extremely helpful when facing unexpected breakdowns or emergencies on the road.
Example: If your car breaks down in the middle of nowhere and you need a tow truck or battery jump-start, your insurance’s roadside assistance coverage can come to your rescue, saving you from costly service fees.
- Emergency expenses: Often as part of or additional to roadside assistance coverage, auto insurance policies offer coverage for emergency expenses resulting from a covered incident. This can include costs like temporary lodging or meals if you’re stranded far from home. It’s important to note that many policies require you to be at least 100 miles from home to qualify for this coverage.
Example: If your vehicle is broken down far away from home and you need to stay in a hotel and eat meals, your roadside assistance coverage may cover these emergency expenses up to the policy limits.
- Medical expenses: In the event of an accident, your car insurance policy may provide coverage for medical expenses incurred by you or your passengers. This coverage, known as Personal Injury Protection (PIP) or Medical Payments coverage, can include hospital bills, doctor visits, and rehabilitation costs.
Example: If you sustain injuries in a car accident, your vehicle insurance may cover medical expenses such as hospitalization, surgery, physical therapy, and medication, reducing the financial burden on you and your loved ones.
- Lost wages: Your automobile insurance could potentially help cover lost wages if you’re injured in an automobile accident. Personal Injury Protection (PIP) coverage, mandatory in some states, can provide reimbursement for a portion of lost wages. Additionally, Uninsured/Underinsured Motorist Bodily Injury coverage may also cover lost wages if the accident was caused by an uninsured driver.
- Pedestrian incidents: If you, as a pedestrian, are struck by an uninsured motorist, you can file an uninsured motorist claim, and any injuries may be covered by your insurance, providing you have Uninsured Motorist Coverage in your policy. This coverage may also extend to family members living in the same household.
Example: If you’re walking on the sidewalk and get hit by a driver who doesn’t have insurance, your auto insurance can cover your medical expenses and consequent losses resulting from the accident.
- Legal expenses: If you find yourself involved in a lawsuit arising from a traffic accident, your vehicle insurance policy may provide coverage for legal expenses, including attorney fees and court costs, as part of your liability coverage. This coverage can help protect you from substantial legal expenses that may arise from a legal dispute.
Example: If you’re sued by another driver involved in an accident, your vehicle insurance may cover the costs associated with hiring an attorney and representing you in court.
- Custom parts and equipment: If you’ve made aftermarket modifications or added accessories to your vehicle, such as custom rims, sound systems, or performance enhancements, some car insurance policies offer coverage for these items. However, you may need to purchase additional coverage beyond the standard policy.
Example: If your car has expensive custom rims that get stolen or damaged, your insurance policy may cover the cost of replacing them, provided you informed your insurer about them, paid the additional premium and have a CPE endorsement on your policy.
- Vandalism and theft: Auto insurance Comprehensive coverage typically covers damages resulting from theft, attempted theft, or vandalism. This can include repairs to your vehicle or even replacement if it isn’t found.
Example: If your car is vandalized with graffiti or if someone damages your vehicle in a break-in, your insurance policy may cover the damages to your automobile.
- Detailing: If your car is stolen or vandalized and ends up with stains or other damage to the interior, many insurance policies will cover the cost of having your car professionally detailed.
Example: If your stolen car is recovered with food stains or smoke odor inside, your automobile insurance may cover the cost of having it thoroughly cleaned.
- Falling objects: While the chances of a meteorite or satellite falling on your car are incredibly slim, your insurance policy can provide protection in such unlikely events. Damage caused by falling objects is usually covered under Comprehensive car insurance coverage.
Example: If a falling tree branch damages your car during a storm, your comprehensive auto insurance coverage may pay for the repairs.
- Riots: If your car is damaged during a riot or civil commotion, comprehensive vehicle insurance typically provides coverage for these incidents.
Example: If your car is vandalized or set on fire during a protest, your car insurance policy may cover the damages, provided you have Comprehensive coverage.
- Potholes: Running into a pothole is generally considered an at-fault accident and the repairs to your car will be covered under the Collision portion of your policy.
Example: If your car sustains damage from hitting a pothole, your auto insurance collision coverage can help cover the cost of repairs.
- Hurricanes and Tornadoes: Damage to your vehicle caused by natural disasters like hurricanes and tornadoes is typically covered under the Comprehensive portion of your vehicle insurance policy. If you are concerned about certain natural disasters, check to make sure your policy doesn’t have an exclusion for such disaster.
- The remaining balance of your car loan or lease: In the event of a covered accident where your vehicle is declared totaled, having GAP coverage on your auto insurance policy can be beneficial. It may cover the outstanding balance on your loan or lease. Without GAP coverage, the insurance company will only compensate you based on the actual cash value of the vehicle, taking into account depreciation. This amount could potentially be lower than what you owe your lender.
Example: Let’s say your loan amount is $20,000, but the appraised value of your car is $16,000. In this scenario, the remaining $4,000 would be covered by GAP insurance.
- Collision with animals: Comprehensive coverage vehicle insurance normally covers a collision with an animal while driving.
Example: If you hit a deer while driving, it normally falls under Comprehensive coverage and not Collision. If you have Comprehensive coverage, your policy pays for repairs to your vehicle resulting from hitting an animal.
It’s important to remember that the specific coverage and limits will vary depending on your policy, so it’s crucial to review your insurance policy or consult with your agent or provider to understand the extent of coverage provided by your car insurance policy. By being aware of the surprising things your vehicle insurance may cover, you can make informed decisions to protect yourself and your assets.