Understanding Comprehensive and Collision Insurance
You love your luxury vehicle and treat it almost as though it’s a part of your family. It’s beautiful, and you’ve added some fantastic custom parts to make it truly special. The last thing that you want to think about is the possibility of getting into an accident. However, accidents happen all the time, and you need to make sure that you have coverage for your vehicle.
Getting the Right Coverage
What happens if you put some beautiful custom parts onto your luxury vehicle and then get into an accident and total the vehicle? Unless you have coverage that specifically includes those custom parts, chances are that you will only be able to receive money to cover the base cost of the vehicle. Those who have the cheapest form of insurance – a liability only policy – will not have coverage on any part of the vehicle. You only have coverage if you hit someone.
To get the vehicle covered for repair and replacement, you need to have collision and comprehensive coverage. Collision makes sure you have the coverage needed to provide for repairs and physical damage to the car. Comprehensive coverage will provide protection against things such as vandalism and theft. When you have a luxury vehicle, you really do need to have as much insurance as possible. The cost of replacing or repairing damage to the vehicle on your own could be astronomical. Insurance helps make things much easier for you.
What About the Custom Parts?
One of the things about having a nice luxury car is the fact that you can often find some interesting aftermarket parts for it. One of the things that you need to realize about these custom parts is that they are not covered under your policies unless you have coverage for the aftermarket parts as well. It’s generally very cheap to add this coverage onto your policy. However, you need to have comprehensive and collision insurance already.
You may want to talk to the insurance company about getting a stated-value policy. These are policies where you and the insurance company agree to the payout of the car in the event it is totaled or stolen. They will then base the premium off that amount. These types of policies are usually helpful for luxury cars that are rare or that have a number of custom parts that will make replacing the vehicle difficult. This ensures that you have the right protection for the total value of your vehicle, including those custom parts.
What If Someone Hits You?
When another vehicle hits your vehicle, their insurance company will generally only pay for stock parts on your car. However, if you have the custom parts listed on your own policy and can show that they were somehow covered, then the other insurance company will generally consider paying for the parts.
One of the things that you may want to consider is the fact that some of the custom parts that you add to the vehicle may not actually add much – or anything – in terms of value. You may simply like the way they look. In those cases, it might not be possible to get all of the money back that you spent on those parts after an accident. It is just something to consider when you are outfitting your luxury vehicle.
If you have a luxury car and you are considering some custom parts for it, talk with us about what it takes to get those parts of your vehicle protected. We’re ready to help you.