Can Your Car Insurance Leave You Without a Car After an Accident?

car accidentIf you have a car, it is safe to assume you have or need auto insurance. Most states require drivers to have at minimum liability insurance before a car can even be registered. All states require drivers to have some form of insurance. States that do not have the liability insurance requirement require drivers to have personal injury insurance, as well as property damage insurance. Purchasing full coverage automobile insurance on a vehicle does not always guarantee the insurance company will replace your car if it is totaled in an accident. And many online automobile insurance policies will try to offer good rates by using loopholes to avoid payments. Here are three situations where your insurance company could leave you without a car.

Damage caused by animals or weather

If you do not have comprehensive coverage, your insurance will not cover damages from bad weather or animal attacks. Some insurance companies have restrictions on what they will cover. Collisions with deer, or accidents caused by weather in disaster prone areas are not always covered by car insurance.

Your car is stolen

If your car is stolen, and you do not file a police report in a reasonable amount of time, your claim can be denied. The car insurance company can also deny your claim if they believe you did not take reasonable precautions to prevent your car from being stolen. Leaving your keys in the ignition or letting someone borrow your car are common reasons your claim can be denied.

Using your car for business trips

Most vehicle insurance policies do not cover damages that occur while on business. If you use your car for business you need to purchase a separate insurance policy. Your claim can even be denied for something as simple as going on a coffee run for the office. If you are going to be running errands for your job, it is best to ask your boss if the company offers auto insurance for business trips.

You should always read the fine print before agreeing to any insurance policy. When you are getting a car insurance quote, it is imperative you choose a policy that provides collision coverage and comprehensive coverage. When looking at auto insurance quotes, the most important options are the ones that are listed as optional.

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