Storage facilities in brampton

Insurance Considerations When Parking Your Car in Storage

Insurance Considerations When Parking Your Car in Storage

Personal Liability Insurance
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Brent Newhall under cc2.0

No doubt about it: car insurance is not only necessary – it’s vitally important for your protection, for the protection of other drivers and for the protection of your vehicle. But when your car is off the road for a long period of time parked in a secure storage facility, carrying insurance may seem like a waste of money: If your car isn’t being driven, why does it need to be insured?

Although insurance requirements vary widely by region, many require car owners to maintain insurance on their vehicles even while they’re in storage. Insurance requirements can also vary by vehicle type; for instance, while some states may require insurance for a stored car, they may not require it for a motorcycle that’s being kept in storage.

Protection Against Damages

Insurance Considerations
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Stefan Andrej Shambora under cc2.0

If your car has been financed and the loan is not paid off yet, you’ll have to carry comprehensive coverage on the car to protect against a wide range of damages (that’s in addition to any other insurance required by your region). Comprehensive offers advantages for owners of stored cars because it protects your car against fire, vandalism and theft, so you may want to consider carrying comprehensive insurance regardless of whether or not your car is still being financed. Don’t count on your homeowner’s policy to cover damage that might occur while the car is in a storage facility.

Personal Liability Insurance

What about collision insurance or personal liability protection (PIP)? These types of insurance protect you from damages that can occur when you’re driving the vehicle and have an accident. Since your car will not be driven, these types of insurance will not be necessary; however, they may still be required by your state. In addition, if you plan on driving your car intermittently to keep the battery charged and the tires in good shape, you’ll still need insurance coverage that’s required for a vehicle that’s regularly on the road (with the exception of antique vehicles noted above).

Once you’ve determined the type of insurance you need, you may want to shop around to determine if your insurance company is offering the best deal. Some insurance companies offer policies specifically for vehicles in storage, so be sure to ask. Also ask about any discounts for which you may be eligible like low mileage or multi-vehicle discounts.

If you have any questions about parking your car for the winter, contact our knowledgable team now.