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My Car Broke Down, Do I still Need Car Insurance?

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Car with its hood up for repairs.

Lots of people are having a tough time making ends meet. A major car repair can cripple some families, forcing harsh decisions on what cuts to make. A common question I hear is: Do I need to carry car insurance if my car is broke down?

Circumstances can vary greatly, and so can the answer to the question. If multiple cars are insured and one breaks down, the answer is no, you do not necessarily need to insure the car needing repairs. Sometimes, if you have a loan on the vehicle your lender may require full coverage no matter what the circumstances are. Comprehensive or storage insurance may be a possibility if your car needs repairs, so long as you have an alternate vehicle being driven on the car insurance policy.

Now, if your only vehicle is down and out, you will need to maintain car insurance in one form or another. Decide how to stay insured based on how long it will be to repair or replace your car.

Stay Insured By:

  • Maintaining insurance on the vehicle needing repaired
  • Get added as a driver to a relative or friend's car insurance
  • Purchase a Named Non-Owner car insurance policy

Cancelling your car insurance can be very costly. A good rule of thumb is to never let your car insurance lapse. It may seem useless to pay car insurance on a vehicle you cannot drive; however, it is the cheaper route to go since you will be considered high risk the next time you need insurance.

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