Can I purchase additional car insurance during a storm?

During hurricane season, people typically learn a lot about storm preparation.

For some individuals, one of these important lessons has to do with purchasing car insurance while their state is under a storm warning.

Some people are caught off guard when told that certain types of car insurance coverage are unavailable until after a storm warning is lifted.

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The scenario described above is more common in America than you might think.

Why? Because there are individuals who only carry minimum liability coverage on their vehicles as a general rule.

But when a severe storm, such as a hurricane, is predicted to come into the area, some of these drivers attempt to purchase comprehensive or full collision coverage just in case the storm damages their expensive cars.

Insurance During a Storm Warning

In all likelihood, you’ll never be denied the minimum liability coverage required by your state, even during a storm warning.

That’s because such coverage only protects you against bodily injury, property damage, and liability issues while you are driving.

It does not cover the replacement cost of your vehicle should it be destroyed in an accident.

Insurance companies have nothing to lose by issuing minimum liability coverage during a storm warning.

On the other hand, comprehensive and full collision insurance will pay to repair or replace your vehicle regardless of how it was damaged.

That means if an insurance company issues you a comprehensive policy before an impending storm, they could end up paying out significant amounts of money for which they will never see a return.

This risk is simply bad business and few insurance companies are willing to take it.

Read more: Do warnings affect car insurance rates?

For Insurance Companies, It’s All about Risk

To many people, not being able to purchase insurance coverage during a storm warning seems a bit unfair.

Yet if we look at it from the standpoint of the insurance company, they really have no other choice.

Car insurance is all about risk.

In other words, when a company agrees to insure your car, they are taking the risk of having to spend more money to replace your car than they can earn by investing your premiums.

Any insurance company that takes too many risks will soon go out of business.

If you or I tried to get comprehensive auto coverage two days before a hurricane is scheduled to strike, we’re asking the insurance company to take a huge risk.

They would not see a return on their investment quickly enough to make up for the losses they would incur if your car was destroyed.

Any insurance company that took such risks would be saddled with serious debt.

Your Best Bet Is to Plan Ahead

In order to avoid finding yourself in a denied coverage scenario, it’s best to simply think ahead.

If you live in an area that is prone to severe storms, having comprehensive car insurance coverage is practically a necessity.

Having comprehensive is even more important if you have an outstanding loan on your vehicle.

If your outstanding loan is still higher than the Blue Book value of your car, the need for comprehensive insurance is even greater.

A comprehensive policy will usually pay for repairing or replacing your vehicle regardless of how it was damaged. But you need to fully review your coverage just to be sure.

You can do this by reading the declaration pages that your insurance company sent you in the mail.

Be sure to contact them right away if you have any concerns about what is and is not covered during a severe storm.

Have you ever heard the saying: “Poor planning on your part does not constitute an emergency on my part”? This is absolutely true in the insurance business.

Fortunately, car insurance companies are a lot more forgiving than people give them credit for.

But there are some risks they are unwilling to take at any cost.

One of those risks is issuing comprehensive car insurance with pending storms on the horizon. They simply won’t do it.

Case Studies: Purchasing Car Insurance During a Storm

Case Study 1: Unexpected Storm

John lives in an area prone to severe storms and has always carried only minimum liability coverage for his car. When a storm warning is issued, he realizes the potential risk to his vehicle and tries to purchase comprehensive or full collision coverage.

However, he discovers that insurance companies do not offer these types of coverage during a storm warning. John learns the importance of being prepared in advance and having comprehensive coverage in storm-prone areas.

Case Study 2: Risk and Insurance Companies

Mary has basic liability coverage on her car but wants to upgrade to comprehensive coverage due to an impending storm. She contacts multiple insurance companies to inquire about purchasing comprehensive coverage, but they all decline her request.

Mary learns that insurance companies view storms as high-risk situations and are unwilling to issue comprehensive coverage with pending storms. She understands that insurance companies need to manage risks to stay financially stable.

Case Study 3: Planning and Preparation

David lives in an area with a history of severe storms. He proactively carries comprehensive coverage on his car to protect against storm damage. David recognizes the importance of planning ahead and being prepared for potential storm-related expenses. By having comprehensive coverage in place, he ensures that his vehicle will be repaired or replaced regardless of how it is damaged during a storm.

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