One of the main questions we get asked here at The Zebra is whether or not people should insure their older car with collision coverage. Given that collision insurance typically covers repairs (minus your deductible), and can be expensive, it’s no wonder this is a popular question. To help you make a decision on whether or not to carry collision insurance, we’ve put together this guide that will explore the following topics: -When does it make sense to get rid of collision coverage? -What are some things to consider when making this decision? -What are the average costs of collision insurance? Read on to get all of your questions answered about insuring an older car with collision coverage.
What is collision insurance?
Most people think of collision insurance as something that only applies to newer cars. But the truth is, collision insurance can be a good idea for drivers with older cars, too.
Here’s what you need to know about collision insurance: it covers damage to your car that occurs as a result of a collision with another vehicle or object. That means if you get into an accident and it’s your fault, your collision insurance will pay for the repairs to your car (minus your deductible).
If you have an older car, you might be thinking that collision insurance isn’t worth the cost. But here’s the thing: even if your car is old, it could still be worth a lot of money. And if you get into an accident and it’s your fault, you could be on the hook for paying for all of the repairs yourself.
So, should you carry collision insurance on an older car? It depends on a few factors, including the value of your car and how much you can afford to pay out-of-pocket if you get into an accident. Ultimately, it’s up to you to decide whether or not collision insurance is right for you.
When is it worth carrying collision insurance on an older car?
If your older car is paid off, collision insurance may not be worth the cost unless you have a high-deductible policy. If your car is financed, your lender will likely require you to carry collision insurance until the loan is paid off.
If you’re considering dropping collision insurance on an older car, weigh the value of your car against your deductible and premium costs. If your car is worth less than 10 times the premium, it might not be worth carrying collision coverage.
How much does collision insurance cost?
If you’re carrying collision insurance on an older car, you may be paying too much for your coverage. While the cost of collision insurance varies depending on a number of factors, including the value of your car and your deductible, it’s generally more expensive to insure an older car than a newer one.
If you’re not sure whether or not you should carry collision insurance on your older car, consider the following:
The value of your car: If your car is worth less than $1,000, it’s probably not worth insuring. In fact, if your car is totaled in an accident, you’re likely to end up owing money to your insurance company.
Your deductible: The higher your deductible, the lower your premium will be. But if you can’t afford to pay a high deductible out-of-pocket, collision coverage may not be a good value.
Your driving record: If you have a good driving record and haven’t been in an accident in several years, you may be able to get by without collision coverage. But if you’ve had accidents or traffic violations in the past, carrying collision insurance may give you peace of mind.
The bottom line is that whether or not you carry collision insurance on an older car is up to you. Be sure to weigh all of the factors mentioned above before making a decision.
How to get collision insurance quotes
One of the best ways to get collision insurance quotes is to use an online insurance quote comparison tool. This type of tool allows you to compare rates from a variety of different insurers in order to find the one that offers the best coverage for your needs.
When getting quotes, be sure to provide detailed information about your vehicle, including its make, model, and year. You should also indicate whether or not you have any existing damage on the car. Doing so will help ensure that you receive accurate quotes.
Once you have found a few potential insurers, take some time to read through their policies carefully. Make sure that you understand the coverage that they are offering and that it meets your needs. Be sure to ask questions if anything is unclear.
Finally, once you have found an insurer that you feel comfortable with, be sure to get a few different quotes from them. This will help you ensure that you are getting the best possible rate on your collision insurance policy.
Conclusion
No one can make the decision for you whether or not to carry collision insurance on an older car. It really depends on your personal circumstances, such as how much you can afford to pay out of pocket if something happens to your car and whether you feel comfortable taking on that risk. Ultimately, it’s up to you to decide what level of coverage makes the most sense for you and your family.