Hey Gang,
Wondering how wmany of you take your insurance off your stangs in the winter months and have you gotten any hastle from your finace companies?

I am about to put mine up and don't want to pay if I am not using the car.

Thoughts???

 

Can't do that in Maryland, In most states you have to carry insurance if you have registered tags. If you drop insurance and don't turn in your plates, the fines will burn your @$$ up.

 

I've done it through State Farm it's been called storage and then low mileage rate. It drops my normal rate by about half or so.

 

If the financial institution is notified of cancellation of an insurance policy, they have the right and usually add a policy to protect their investment at your expense. Such policies are provided by insurance companies which deal in "high risks" and are by no means cheap.

Transalation: since you agreed to provide insurance for the car at all times without exceptions, the financial institution will purchase the policy in your behave and add the present and maximum interest allowed by law and will be in effect to the day you resummit prove of insurance.

You might like to read the financing contract and all the fine print.

 

I can put my car on "theft and fire" insurance where the car is just sitting and did so last winter.

Every insurance company/state/province is different, hence it is best to call your insurance company and ask.

I know some companies make it mandatory to have full coverage on a car year-round, especially if it is a lease or financed.

 

I would be careful in doing that in Jersey. I think if your insurance lapses, you get put into a high risk category.

 

I have Erie Insurance, and was going to do that, but for how little the difference is for keeping a full year policy, compared to say 9 months, it really wasn't worth it. Plus, in December and January, I plan on just getting the car out on a Sunday (assuming the roads are dry and clean) for 5 minutes at a time, drive around the block, and put it back away, to keep things charged up. So having a full year policy is worth it.

 

What would you do if the garage burned up in a fire? I think keeping insurance year round is not only the best thing to do legally, but also for "just in case". It isn't worth the premium money you would save to take the car off your policy.

 

Some insurance companies offer fire and theft insurance only, so no risk if fire or theft happens.

 

I used to do this with my '97, but I would only remove the collision coverage. Liability etc stayed on there. I did save some money for sure, I'm just not sure, but I think if your car is financed, you cannot remove any coverage. I've not removed anything on the '05 since I got it.

 

In Iowa, we are allowed to keep comprehensive but drop liability if the car is stored during the winter. Cost for insurance goes from ~$80 a month to ~$30. Doesn't compensate for not being able to take the car out, but it helps I guess

 

Just keep it insured, then if we get a really nice day you can just jump in a go. I remember last year I went for a motorcycle ride the day before Christmas.

 

Generally from all my reading insurance companies are not concerned if you do NOT have liability and medical coverage’s on the vehicle as neither of those affect the interest of the finance company.

The only thing the finance company is concerned about is the vehicle itself is paid for if something happens to it. Also, if the finance company did have to put insurance on your vehicle they will NOT put liability and medical coverage on it but ONLY what actually protects the vehicle itself thus their interest. The real bad part about it is even though the finance company puts limited insurance on your car which gives you NO protection is that they will charge you much more then if you had FULL coverage on it…

 

Keep the insurance on.

This can happen to you too.

 

You take off collision, but keep the comp part to cover a lost of vehicle. That is what I did before.

Now I have low cost, classic car insurance it is for low mile show cars. Yes the GT is covered because of my Cobra. Full insurance year around.

 

Fire/theft and you're covered. Mine runs $50 bucks for 6 months. I've been doing it for 20 years

 

Steve, this has been my experience always. Whenever you have a car financed, you must maintain insurance coverage.........and if you don't, the finance company WILL place insurance on it (as mentioned in another reply). Not driving the car doesn't matter to them, because there's vandalalism, theft, fire, natural disasters, etc.

 

T, like others have said, if its financed you need to keep insurance on. Call the finance company, tell them the car is coming off the road and what the minimum insurance they require be on it. Also when lowering the insurance coverage tell your insurance company the car is not going to be driven, and will be garaged stored.

If something does happen to it and it is in your garage I'm sure you can file the claim through your home owners insurance if you wish to go that route.

 

No, you can't. Homeowners insurance specifically excludes autos and auto accessories, no matter what happens (fire, flood, etc.)

I work for a homeowners insurance company and I see misinformed people file claims for car stuff all the time. It sucks to tell them that there is no coverage, but that is how your standard homeowners policies are written, no matter what company you are with. (of course, there might be exceptions that I am not aware of, but they are not mainstream)

My advice would be NOT to drop the insurance coverage on the stored car - maybe lower liability limit / rate discount might be an option since the car is in storage, but NEVER go without, even if you don't have a finance company making you insure the car.

That way somebody like me doesn't have to answer your question "who is going to pay for this?" with a shrug and a short "that's YOUR problem."

 

This is the first time that I'm going to store a car for the winter and my company tells me there won't be any problem if I want to drop collision for the winter. The car will be garaged and will still be covered for fire and theft.