Goal: I want to keep this car running as long as possible as it has been decently reliable and I want to have the lower taxes and insurance with a low value car.
2010 Honda Pilot ~205,000 miles
Car Value (Carvana, KBB, Edmunds) = 1,700 – 3,000
Insurance: Charging about $25 per month
Collision – $1,000 deductible
Other – $1,000 dedeuctible
Wondering if Amica's Collision and "Other than Collision" insurance are worth it in my case. I used to figure it is good to have since it would cover repairs if there is a collision or flood. However, with such a low value wouldn't they just say the car is totaled in any semi-serious repair situation (since repair costs are so high) and just pay out the cash value less the deductible amount? Any thoughts on if this is a waste of money to essentially pay a "life insurance policy" on the car if they would just consider it totaled?
I know this may come down to "personal preference" but wanted your take on if it's better to just save the money. I am on the fence here if it's worth it.
Collision and Comprehensive on an older car?
byu/WeatherIsNiceUpHere inInsurance
Posted by WeatherIsNiceUpHere
2 Comments
If your car is involved in a hit and run, Hit by an uninsured driver, catches fire for some reason, tree falls on it etc if you have no Comp or Collision you will get nothing for your vehicle. Depending on your policy you would have to pay for towing and storage yourself if in a collision.
you’re correct that just about any loss will total a vehicle worth 1700
it’s not really worth it to carry a 1k deductible on a vehicle worth 1700 regardless of the cost of the premiums
i assume it would not be financially ruinous to you if you had to replace this vehicle, so i would make this decision based on what it would cost to carry comp and collision with low deductibles, as well as just comp
chances are pretty good though it’s going to be a better financial decision to only carry liability (and umpd if available in your state)