Your car was stolen from your driveway last night. Well, that’s certainly a hassle. You’ll waste time making phone calls and turning in reports to get another car. But you have auto insurance, so the cost shouldn’t be a major worry — right?
That depends on your coverage details. The short answer is that you’ll receive a settlement for your loss if your policy includes comprehensive benefits. But let’s take a deeper dive into which type of insurance covers car thefts (and which ones don’t).
Why it Matters
Georgia has earned top-ten “honors” in a category where you don’t want your home state to rank so high. According to 2022 figures, the Peach State had the tenth-highest number of car thefts that year.
Naturally, you can expect such crimes to occur more frequently in larger cities, such as Atlanta and Augusta, but you could be a victim anywhere. It’s not just the state or city location that matters – or even the neighborhood.
In addition, some makes and models are more valuable to car thieves than others. Availability makes a difference, too. An unlocked car on a street curb or sitting overnight in an outdoor parking lot is likelier to be stolen than one in a locked garage. It’s also important to never leave valuables, such as a wallet or purse, in an unlocked car. The temptation can be too much.
Does My Homeowners Insurance Cover Car Thefts?
You might have heard of someone successfully making a claim on their policy after a car theft under some lesser-known homeowners insurance benefits for Georgia residents. However, their insurer probably settled on the personal property in the car lost during a theft or break-in, not on the car itself.
That’s an important distinction. Your homeowners policy does not offer car insurance for car theft.
Does Liability Insurance Cover Car Thefts?
No, it does not. The most common reason motorists have liability insurance is that it’s cheap and meets minimum legal requirements for drivers in Georgia. The downside is that it provides scant benefits.
The primary purpose of liability insurance is to financially protect you against claims by others in case of an accident that’s your fault. Your liability policy will help pay for damage to other vehicles and the personal injuries of others. What it won’t do is settle claims for damage to your vehicle or any injuries you suffer in an accident.
Keep in mind your liability insurance policy offers no benefits if your car is stolen or vandalized. It’s simply not car theft insurance.
More About Comprehensive Coverage
Comprehensive benefits may be part of a full coverage policy that also includes the required liability and collision. But for many drivers, having financial protection against theft is a big reason to carry comprehensive in addition to liability.
Dangers that comprehensive insurance covers in Georgia are typically damages and loss that happens when you are not behind the wheel. That means everything from hitting a deer to a tree limb falling on it in your driveway. Also, flooding, fire, wind damage, and vandalism. It also covers car theft.
If you have comprehensive coverage, first get a police report. Then pick up the phone and call your car insurance agent.
Explore the Independent Agent Benefit
If you think you could be paying too much for your current coverage, or you want to upgrade so you have car theft insurance, now might be the right time to change your insurance company in Georgia with an independent agent.
Independent agents don’t work for just one insurance company. Instead, they sell policies for several insurers. As a result, they can go shopping for the most appropriate and cheapest car theft insurance on the market.