Does Car Insurance Cover Flood Damage?
Floods are the most common type of natural disaster in the United States. All areas of the country can potentially experience flooding. Plus, coastal flooding has doubled in recent decades. You may be familiar with flood insurance for your home, but what about your car? Here are nine things you need to know about flood coverage and car insurance:
Car insurance can cover flood damage if you choose a comprehensive auto coverage plan. These plans may be a little more expensive, but they can make all the difference in the event of a flood that damages your vehicle.
In addition to comprehensive coverage, you may also want to consider other forms of coverage. If you need a tow because of flood damage, this may not be included in your insurance coverage, so add towing insurance to your policy to cover all of the bases.
The third thing to know is that taking pictures is incredibly important when filing a claim. Be sure to take pictures from every possible angle so your insurance company can accurately assess the damage. You can take videos too.
After taking the pictures and videos, submit your car flood insurance claim as quickly as possible. If the flood damage is the result of a heavy storm or severe weather, many of your neighbors are probably filing claims too. You want your claim to be at the front of the line so you don’t have to wait.
The next thing to do is check for hidden damage. Water damage can be tricky and you may not be able to see it with the naked eye. Take your vehicle to a mechanic so they can evaluate the damage. They know what to look for and where to look for it.
In order for your vehicle to be declared a total loss, the costs of repairs must be more expensive than the vehicle’s value. The exact percentage ranges from state to state, but if your insurance company declares your vehicle a total loss they will pay you the equivalent to the value of the vehicle the moment before the loss occurred.
Now if your vehicle is not totaled, a car insurance company will evaluate the value of the vehicle and assess the damages to determine your payout. All companies handle this differently, with some companies looking at the pre-accident value vs. the new value after repairs to determine the payout amount.
Fortunately, car insurance rates don’t increase because of comprehensive claims. This means, even after a flood, your annual car insurance costs will stay the same.
Now that you have a stronger understanding of automotive flood insurance, you’re ready to shop for a new-to-you vehicle. Discover what we have to offer at Luxury Automotive Club To reach us by phone, please call 718-737-7626, or fill out the form below with any questions you may have!