I have full coverage on a 2009 vehicle that is worth $3000-$4500 that I have carried full coverage on since it was new. It now has hail damage on the roof, doors, and hood but fine to drive. I haven't had any tickets for fifteen years until one just recently. I was going to submit a claim but a friend told me the insurance would not write me a check and I choose to have it fixed or not. Instead, since it has a little rust they would probably total it, take the car, and give me the lowest amount or less. I would have to buy another car in worse shape and my rates will go up due to the ticket and the claim, I would be paying more for a car that is in worse shape and more to insure it. My friend said I shouldn't file a claim and I shouldn't be paying full coverage. Is this how it would work? Should I file a claim and hope for a check that I can use to repair the dents (or not) or not file/keep the car and drop full coverage?
Posted by neoDIYguy
3 Comments
It will be totaled for sure. If you’re not going to use the coverage your friend is correct, no need to have the coverage.
A 2009 with hail damage on multiple panels will almost certainly be a total loss. If that happens you have the option to sell the vehicle to your insurer for its current actual cash value less your deductible or take a reduced payout and retain your own salvage (in most states).
Trouble with that is:
If you sell it you have to buy another car.
If you keep it, you might be required to get a salvaged title (or might not depending on your state), which can make insuring and/or registering it again difficult.
If its purely cosmetic and doesn’t bother you, and you were planning on keeping it anyway I would personally not file the claim.
If you disclose your state we can tell you if the vehicle would require a salvaged title or not.
As to whether you should keep collision & comprehensive that is a financial question we can’t answer for you directly. However, if you can afford to replace the vehicle with no issues then it might make sense to remove coverage.
If you carry comprehensive coverage, you are certainly entitled to file a claim. The answers to your other questions kind of depend on a lot of factors.
What is the estimate for the repairs, and what is your deductible?
What is it costing you to keep comp and collision coverage?
If your removed full coverage and your car was damaged, could you afford to replace the car or get it repaired yourself?