Insurance Flooded Car

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Insurance Flooded Car – Does car insurance cover flood damage? 9 things you need to know Tips for getting compensation for your flood damaged car after a hurricane

Floods are the most common natural disaster in the United States. In many areas, including the Midwest, Northeast, and the Mississippi Valley, flooding is becoming more frequent, and coastal flooding has doubled in recent decades. In addition to getting the proper insurance for your home, it’s important to protect your vehicle before the next hurricane hits. Does car insurance cover flood damage? What should you do if your car is flooded and how do you ensure you get a fair settlement for your car flood insurance claim? We spoke with Penny Gusner, consumer analyst for Insurance.com and Insure.com, about car flood insurance discounts. Here’s what you need to know.

Insurance Flooded Car

Yes, but you will need comprehensive car insurance if you want your insurance company to compensate you for damage to your flooded vehicle. According to Insure.com, the average price for comprehensive coverage is $189 per year, which you’ll pay on top of the collision, which averages out to $523.

Does Car Insurance Cover Flood Damage?

Does car insurance cover hurricane damage? Yes, again as long as you have full coverage on your policy.

When you lease or finance a vehicle, you must take out all-risk insurance. But even if your situation doesn’t require it, it’s probably a good idea. “If your car is less than 10 years old, I would always say keep it,” Gusner said. “I say keep it comprehensive until your car is so old that the cost of coverage is more than the value of your car.”

If you don’t have full coverage and your car gets flooded, chances are you’re out of luck. Home insurance does not cover flood damage, and even if you have a used flood insurance policy, it will only cover damage to personal property in your car. There is however a catch. In the event of a natural disaster, you may qualify for assistance from the Federal Emergency Management Agency (FEMA) in the form of a low-cost loan.

Other types of insurance that can help with flooding include towing insurance, which is usually quite inexpensive to add to your policy. “If your car is in a flooded area and someone tells you to take it to higher ground, some insurers will pay themselves,” Gusner said. “Some others will charge you unless you have attention on towing your car.”

New Jersey Flood Insurance

Rent reimbursement insurance can also be useful; he will pay for a rental car that you can drive once your car is flooded. However, if you have a second car, you can choose to skip it.

To ensure that you receive a fair payment from the insurance company, you will need to carefully document what happened to your car. This means taking photos and videos from all angles of the car so the insurance company can see how high the water has reached. “Knowing the car’s maximum level of water exposure can make a difference in whether or not they should total it,” Gusner said. “Any kind of pictures you can take of the condition of the car, probably at its worst moment, if possible.” The National Auto Dealers Association recommends taking steps to dry out the vehicle as much as possible and remove moisture from the car if the interior is damp.

Once you’ve taken photos and videos, call the insurance company quickly. If there was a major hurricane, you can bet plenty of other people are filing claims as well.

Insurance companies are now using mobile response units to speed up the claims process, but there are still a limited number of adjusters. “The sooner you file your claim, the sooner you will get your settlement,” Gusner advised. It is important to take notes throughout the claims process, writing down the names of the people you speak to, the time and date, and the details of the discussion.

Flooded Car Repair Cost: ❤️ Is It Worth Fixing A Flood Damaged Car?

When it’s time for your car to go to the garage, determine whether or not there is any damage that cannot be seen with the naked eye. “Have good communication with the body shops and the mechanic, so you can find out how closely they inspect it, how much damage there is. Be sure to ask.” This step is essential, as it could mean the difference between the car being repaired or declared a total loss.

It is likely that your insurance company declares your vehicle a total loss. This happens if the car is so damaged that it cannot be repaired safely or if the repairs cost more than the value of the car. Or if the cost of repairs is too high according to state regulations or insurer guidelines for a total loss. In some states, a certain damage threshold must be exceeded to declare the car totaled. In Michigan, for example, repair costs must exceed 75% of the value of the car. It’s 80% in Florida and 100% in Texas. Insurance companies may have their own guidelines as long as it is a lower threshold than the state. When the company declares your vehicle a total loss, you will receive a payment equal to the value of the vehicle at the time the loss occurred (minus your deductible).

In this case, you have the right to have your car repaired in the same condition as before the incident. Of course, many people have health and safety concerns about keeping a car flooded. And when you sell it, it won’t be worth as much as if it hadn’t been flooded.

In this situation, you may want to consider making a diminished value claim. This will allow you to recover the difference between the pre-accident value of the car and its new value after repair. Some states allow it, but some don’t. And don’t expect this to be an easy process.

Hurricane Ian: Flooded Cars May Have To Be Scrapped

“Otherwise, you may have to do some legwork yourself,” Gusner said, advising people to research their car’s value on consumer sites. “Look at the value of your car, then call the dealerships and say, ‘Hey, what would this car be worth in mint condition? Okay, what would it be worth now that I have water damage?’ You find out the kind of thing you expect to get for your reduced value.” There are also companies that can help you write a report and get the money back, Gusner notes.

Rates generally do not increase due to a global claim. Of course, there are exceptions. “Let’s say this is your third claim in two years, then your rates might go up due to the number of claims you’ve had, but not due to the type of claim,” Gusner said.

The most important thing you can do in the event of a flood is to stay safe! If you have the ability to move your car out of harm’s way before flood damage occurs, you should try while conditions are safe to do so. If it’s already flooded, don’t try to move it. You could cause more damage and expose yourself to unnecessary risks. Vehicles can be replaced after a flood. Your life cannot. Written by Rick Hoel Written by Rick HoelArrow Correct Insurance Contributor Rick Hoel is an international business lawyer and legal and insurance writer for Reviews.com and Accessibility.com. Over the past few years, he has covered topics related to personal and commercial insurance as well as technology and law. Rick is General Counsel and Chief Risk Officer and sits on the Board of Directors of Power Stow Americas Inc., a subsidiary of Power Stow A/S in Denmark, a global leader in providing tracked shipping systems to the ‘aviation industry. Rick Hoel

Edited by Angelica Leicht Edited by Angelica LeichtArrow Edit Insurance Writer Angelica Leicht is an Insurance Writer on the team. She is truly passionate about helping readers make informed decisions about their portfolios, whether the goal is to find the right comprehensive auto insurance policy or the best life insurance policy for their needs. Angelique Leicht

Close Up Swamped Car By Flood Water Near Downtown Houston, Texas, Usa. Flooded Car Under Deep Water On A Heavy High Water Road. Disaster Motor Vehicle Insurance Claim Themed. Severe Weather Concept Stock

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