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What Does Insurance Cover If Your Car Is Stolen

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Does Insurance Cover A Stolen Car

Does Auto Insurance Cover Items Stolen From Your Vehicle?

Does insurance cover a stolen car? In the event of the theft of your vehicle or damage to it during a break-in, comprehensive car insurance should be sufficient to cover up to the actual cash value of your car.

Does insurance cover a stolen car? In the event of the theft of your vehicle or damage to it during a break-in, comprehensive car insurance should be sufficient to cover up to the actual cash value of your car. The collision and liability portions of your insurance will not cover you in the case of theft, however.

What To Do If Your Car Is Broken Into

Car break-ins can be devastating. One mistake like leaving your laptop bag in your car while you shop can cost you thousands of dollars.

If your car is broken into, then there are steps you need to take. If you have renters or homeowners insurance, then you may be covered against vehicle break-ins. If you do not have renters or homeowners insurance, then you may not be covered at all, although you may still want to make a claim through your car insurance for a broken windshield or other vandalism.

Does Car Insurance Cover A Stolen Car

Car insurance can cover a stolen car, but only if you have comprehensive coverage. If your car is stolen and not recovered, this coverage pays the current value, or actual cash value, of your vehicle.

Comprehensive claims have a deductible, which is the amount you pay before your insurance pays the rest. If you have an older car, compare the value of your car to the cost of your deductible and how much you pay for coverage. If there isnt much difference, you likely dont need comprehensive insurance.

In some cases you might have to buy comprehensive and collision insurance together, for instance if you have a car loan or lease. This may increase your insurance bill considerably because collision can cost twice as much as comprehensive, or more.

Even so, you can still find a reasonable rate. Always shop around and compare car insurance rates to get the best price.

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Vehicle Upgrades Are Protected With Custom Parts And Equipment Coverage

Most auto policies won’t cover the replacement or repair of aftermarket, custom parts, and modifications to your vehicle over a certain amount. However, custom parts and equipment coverage available at Progressive and most insurers for an added cost can cover stolen parts or equipment. For instance, if your newly added 24-inch rims are stolen, you’d likely need CPE coverage to insure them.

At Progressive, comprehensive coverage will insure up to $1,000 in repair or replacement costs for custom parts and equipment. Repairs or replacements above and beyond $1,000 require CPE coverage, which is typically inexpensive.


You spent $900 on a custom paint job and $800 on a new stereo, both of which need to be replaced due to damage during a theft. On top of the $1,000 your comprehensive could pay out, you’d need an extra $700 from CPE to fully cover the new paint job and replace the new stereo.

What Do You Do If Your Car Is Stolen

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Once you are positive your vehicle has been stolen, contact the police immediately to file a police report and follow their instructions. Call your insurer to inform them about the situation. Contacting them also protects you if your automobile is used to cause harm or commit a crime.

Here are the three key steps to take if your vehicle has been stolen :

  • Be sure your vehicle is stolen : While your first reaction will be to call the police immediately, take a few minutes to consider if it was actually stolen. Could it have been towed? Did you lend it to someone? Who else do you know who has access to your keys? Could it have been repossessed?
  • Call your local police to start the investigation process. You will be expected to provide a detailed explanation of your vehicle, including the make, model, license plate, VIN, and details surrounding the event. Also notify the police of technology that may be able to help them track down your vehicle, such as the telematics system.
  • As soon as you have filed a report, call your insurer. This will protect you if it is used in a malicious manner. Provide as much information as possible, including personal items that were inside the car at the time.
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    What Comprehensive Insurance Covers

    • The actual cash value of a stolen car, or
    • The cost to recover and repair your stolen car, if it’s found

    Your policy may include a 48-hour waiting period before payment is issued. If the car is found after payment has been made, your insurer may have the option to keep the car, since you’ve already been compensated.

    • Your temporary transportation expenses

    A stolen car means that you’ll likely have trouble getting around. Your insurance policy may reimburse you for temporary expenses like the cost to rent a car, take a taxi, or call a ride-sharing service. Usually, this reimbursement starts after the 48-hour waiting period and ends once the car is repaired, returned, or reimbursed.

    Does Car Insurance Cover Theft Of Personal Property

    Your car insurance policy will cover up to $200 in personal property stolen from your vehicle. If you have more valuable items in your vehicle, your homeowners or renters insurance may step in after the deductible. Youll want to check those policies to make sure theyll cover belongings stolen from your car.

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    File An Insurance Claim

    Your auto insurance provider will need as much information as possible to evaluate your claim and determine its payout offer. Geico needs the following information when a policyholder submits a car theft claim:

    • The car title
    • The location of all keys to the vehicle before and after the theft
    • Names and contact information of everyone who had access to the vehicle
    • A description of your vehicle, including mileage, service records and upgrades
    • Contact information for your auto lender
    • Your policy account number

    Your provider may also run a credit check to verify you’re in good financial standing. If you have significant debt and file a claim for a stolen vehicle, it may raise questions about whether you’re trying to commit fraud, and could increase the likelihood of your claim being denied.

    Finally, if you’re leasing or financing your vehicle, you need to notify the lender as soon as possible.

    Insurance provider
    Report an Allstate claim

    What Is Actual Cash Value

    Do I have insurance if my car is stolen

    Comprehensive coverage is going to pay you the actual cash value of your car minus your deductible, says Josh Damico, vice president of insurance operations at Jerry, a car insurance comparison service.

    But that doesnt mean the insurance company will write you a check for what you paid for the car. The actual cash value of your vehicle is how much the vehicle is worth in todays dollars. Because cars depreciate so quickly, you probably wont be able to buy a brand-new version of the vehicle youre driving with the money from the insurance company unless you have new vehicle replacement coverage.

    Find out how you can calculate depreciation on your vehicle.

    If you purchased new vehicle replacement coverage, the insurance company would reimburse you for the cost of a brand new vehicle, not the depreciated value, of a similar car. This type of coverage is typically only available for the first year you own a car, and you must be the original owner.

    Gap insurance may also help if you purchased this add-on coverage. If your car gets stolen and the insurer says its totaled, this insurance covers the gap between what you owe on a loan or lease and what the insurer paid you for the depreciated value of the totaled car.

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    Do You Really Need Gap Insurance

    Whether or not you need gap insurance depends on your tolerance for risk and your financial circumstances.

    Just remember that if your car is totaled or stolen and you owe more on the loan than the car is worth, you will still be responsible for paying any amount that remains between the amount of money you get from your insurance company and the amount that remains on the loan.

    If you purchase gap insurance, you will not have to pay the money that falls into this “gap.” If you don’t have such coverage, you will need to write the check.

    “Most vehicles’ value depreciates about 20% in the first year of ownership, so it’s something to consider,” Worters says.

    Document An Authorities Document

    Its best to lodge a police document within 24 hours associated with the car thieves. Quicker the authorities can begin seeking your own stolen vehicle, the much more likely these are typically to obtain it. It also indicates its possible to begin the declare processes quicker.

    The police will request the next suggestions to assist them find the car:

    When filing their authorities report, be extensive and sincere. Regrettably, because fraud starts, the authorities could need to rule you completely as a suspect. After submitting the report, immediately alert your automobile insurer to begin the claim procedure.

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    How Much Damage Is Covered If My Car Is Stolen With The Keys Inside

    Will my insurance company pay the full value of my car if its stolen? What if the theft happened because of something I did, like leave the keys inside?

    If you have comprehensive insurance, then your insurance will pay for a stolen car, whether or not you left the keys in it. How much it pays depends on the limit of your policy and on the deductible.

    An insurance limit is what it sounds like: Its the limit on what the company will pay.

    Liability policies, the most basic car insurance, usually have high limits, like $10,000, $25,000 or $50,000. But for comprehensive policies, which cover natural disasters, its almost always the actual cash value of your car.

    Actual cash value isnt what you paid for your car. Its the replacement cost minus depreciation, a.k.a. the amount of value your car loses each year due to age and wear and tear. Cars depreciate quickly, so the limit can plunge pretty fast on older cars.

    Your insurance wont pay out anything over the limit of the policy. If your car is stolen, youll receive the actual cash value as a payout so that you can go replace your car.

    Additionally, if your insurance policy has a deductible, then you will need to pay it before getting your insurance payout. If the actual cash value of your car is $10,000 and your deductible is $500, then you will receive $9,500. Youll have to pay that $500 yourself when you replace your car.

    Here Are The Steps To Take After A Vehicle Break

    Does Car Insurance Cover Theft?

    Step 1) Document the Scene: Take photos of the damage, including the broken window or door, the surrounding scene, glass on the ground, and the interior and exterior of your vehicle. The more photos you have, the better. Make an immediate list of all items that were stolen.

    Step 2) File a Police Report: Most insurers require a police report. Contact the local police to make a car break-in report. Dont move the vehicle until the officer arrives. Or, the officer may ask you to file a report at the police station. You will need a drivers license, vehicle registration, car insurance documentation, photos of the damages, and a list of stolen items to file the police report.

    Step 3) Freeze Cards and Bank Accounts: If your wallet or purse was stolen during the break-in, then the thief may attempt to immediately access credit cards or bank cards. Contact your bank or credit card to freeze your accounts. Consider contacting one of the three major credit bureaus to place a fraud alert on your credit record as well.

    Step 4) Consider Filing an Insurance Claim: You could file a renters or homeowners insurance claim to cover items that were stolen from your vehicle. You could also file an auto insurance claim for your broken windshield and other damage.

    Step 5) Repair your Vehicle: Visit a body shop to repair your vehicles physical damage.

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    How Does Auto Theft Affect Your Insurance Costs

    Auto theft can affect how much you pay for insurance. It costs drivers, companies and the government millions of dollars annually. Your insurance is impacted by many factors such as :

  • Where you live : Larger cities like Mississauga, and Ottawa are known more car theft. If you live in a neighbourhood that is known for a high amount of automobile thefts, you can expect a higher premiums.
  • The automobile you drive : Automobiles that are common targets for theft cost more to insure. Each year the IBC puts out a list of the most stolen cars in Canada.
  • What Kind Of Insurance Covers Theft

    Comprehensive insurance is the only form of insurance that reimburses you for a cartheft or damage due to a break-in, regardless of whether your car is recovered.

    Two coverages that build on comprehensive will also pay out if your car is stolen:

    • Gap insurance covers the difference between your car’s value and how much you have left on your loan.
    • New car replacement coverage pays to completely replace a new car within the first few years after you buy it.

    In addition to the straightforward scenario of “your car was stolen,” there are other theft-related instances in which comprehensive coverage will cover your expenses.

    For example, this includes any damage done to your car if it’s broken into, such as a broken window or vandalism. It also includes theft of your catalytic converter, as well as damaged or stolen car keys, so long as they’re part of a larger theft.

    Unfortunately, you won’t be covered for non-vehicle personal property that’s stolen. You’ll need to rely on homeowners or renters insurance coverage to pay for those losses.

    Items covered by comprehensive insurance in theft incidents

    • Homeowners and renters insurance

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    Why Do People Steal Catalytic Converters

    The metals used in catalytic converters are quite valuable, and they can be easier to steal due to their exposed location on the underside of a vehicle. It only takes a few minutes for a thief to steal a catalytic converter, so multiple catalytic converters can be stolen in a relatively short amount of time. This combination makes catalytic converters a popular target for thieves.

    It only takes a few minutes for a thief to steal a catalytic converter.

    Will My Car Insurance Cover Stolen Parts

    Does Insurance Cover Stolen Property From Car?

    Yes, if your policy contains comprehensive coverage, it will assist you in replacing stolen car parts and repairing damage caused by thieves. However, this will only be up to the coverage limits after your deductible has been removed.

    Remember that comprehensive coverage does not cover any special equipment or accessories you have put in your vehicle, such as a sound system.

    So, if your car has a lot of special parts, you might want to consider acquiring extra coverage for them. In addition, your coverage specifies whether stolen parts will be replaced with aftermarket or genuine manufacturer parts. So be sure to read your policy carefully before signing on the dotted line.

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    How Does Comprehensive Coverage Work

    In general, comprehensive coverage pays up to the vehicles actual cash value at the time a covered incident occurs. But before your coverage kicks in, you must pay your deductible. After you cover the deductible, your insurance company will pay for the remaining expenses up to the current market value of your vehicle.

    Report Your Claim Online Or By Phone

    After contacting the police, you can report the theft online or call GEICO at 1-800-841-3000 to report the stolen vehicle as soon as possible. Our claims representatives are available 24-hours a day, 7 days a week to help you. If you do not have comprehensive physical damage coverage, you should still notify us of any stolen vehicles immediately. Notifying GEICO of the vehicle theft could help protect you if the thief causes damage to others with your car.

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    Got Your Stolen Car Back Follow These Steps

    In the event the police recover your stolen car, your insurance company will claim it. If you havent yet purchased a replacement car with the funds, you have the option of returning the funds for your new car. Your car insurance company will determine your claim based on its uniqueness.

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    Does Insurance Cover Car Break

    Does Car Insurance Cover Car Theft?

    Typically, your comprehensive coverage on your car insurance policy can help cover damage done to your vehicle and up to $200 of covered stolen property. Sometimes, the damage done during a car break-in is minimal, which means it may not cost more than your deductible to have repaired. Before filing a claim after a break-in, youll want to make sure the cost of repairing your vehicle is higher than your deductible.For example, say you have a $1,000 car insurance deductible. One day, you leave work to find someone has broken into your car by smashing the drivers side window. The average cost to replace a single window on most vehicles is between $250 and $450 dollars. In this case, you would not want to file a claim because the cost to repair your vehicle isnt higher than your deductible, meaning your insurance wouldnt cover any of it.

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