If You Own a Car, But Don’t Drive – Do You Need Auto Insurance?

​Owning a vehicle is a big responsibility. Even if you never take it out onto the road, it tends to be a good decision to maintain proper auto insurance on it. This can help protect your investment. However, the laws on this differ from one state to the next. A vehicle not on the road may not legally have to have coverage. But, what should you do?

Protecting the Value of the Vehicle
Perhaps you plan to park a car in the garage for a few months to a year. You want to keep it, but you do not plan to drive it. In this case, you may not legally need auto insurance. But having it can prove to be very important to you. For example, if someone breaks into your home and damages the vehicle, you want to be sure you have coverage for it. Storm damage can also occur. With comprehensive car insurance, you have protection in place for it.

Protecting Valuable or Classic Vehicles
Most drivers should maintain a policy on their valuable older car. Antiques and vintage cars tend to have significant value. And, it is harder to obtain parts to make repairs on them. For this reason, your policy should reflect the value of the car and the way you use it. Most classic car auto insurance policies are affordable. You can choose a low mileage policy. This can reduce your costs significantly.

Is There a Chance Someone Will Take It onto the Road?
Another risk occurs when someone does venture out onto the road with the car. For example, a driver in your home may decide to see if the car still runs well. They get behind the wheel. And, they collide with a telephone pole. Worse yet, they may cause damage to someone else’s vehicle. In these situations, it is always wise to have a comprehensive policy, a collision insurance policy, and general liability coverage. Even just five minutes on the road can make it worthwhile.

If you are unsure what is right for you, discuss your options with your auto insurance provider. Find out what type and level of coverage is best for your situation. In many situations, your agent can work with you to find cost-effective car insurance. These policies can reflect the limited amount of time you operate the car.

Blog post by: ITC