Parked Car Insurance: What You Should Know

If you’re not driving your car, you won’t cause a car accident with it. Do you really need car insurance for a parked vehicle?

The short answer is yes — damage can occur even if you park your car in a garage or storage facility. Luckily, you can get a special car storage insurance policy that will protect your car if it’s affected by vandalism, theft, weather, or damage from animals. Find coverage limits and insurance premiums for parked cars by doing your own online car insurance comparison.

What is parked car insurance coverage?

The term “parked car insurance” is simply another name for dropping liability coverage and carrying only comprehensive coverage for a vehicle you’re not driving. This is a popular choice for people who keep cars in long-term storage (such as classic car collectors) and for military personnel deployed for long stretches of time.

The car insurance you need for a parked car depends a lot on how you store it.

Cars in long-term storage

A vehicle in storage for a long time probably doesn’t need more than comprehensive insurance because it’s unlikely to be hit by another car, which means you won’t need collision insurance or uninsured motorist coverage.

Car insurance companies can offer comprehensive-only coverage as a stand-alone policy, but only under certain circumstances. You have to prove you have a second vehicle (a “daily driver”) covered by property damage and bodily injury liability meeting your state’s minimum insurance requirements.

Cars stored at home

If you park your unused car in your driveway, you probably need more than comprehensive coverage. Your vehicle could still be damaged in a hit-and-run, and comprehensive-only coverage wouldn’t cover that.

Insurance providers usually require vehicles to be stored for at least 30 to 60 days to qualify for car storage insurance. Also, if your long-term parking solution is on the street, you probably need to register your car and carry property damage liability insurance.

Types of insurance coverage

There are three key types of insurance to familiarize yourself with when figuring out how to insure your parked car.

Comprehensive coverage

Comprehensive insurance covers damage from environmental factors, like flood and fires. It will also kick in if your vehicle is stolen or vandalized. Parked car insurance is typically a comprehensive-only policy unless you choose additional types of coverage.

Collision coverage

Collision insurance covers damage to your car and is usually for accidents where you’re at fault. It covers the cost of repairing your car.

Uninsured and underinsured motorist coverage

Uninsured and underinsured motorist coverage is for when the other driver is at fault, and either they don’t have insurance or their insurance isn’t enough to cover the cost of repairs. This also covers hit-and-runs in some states.

What if someone hits my parked car?

Who is at fault if a parked car is damaged? It depends on the circumstances. Usually, the at-fault driver’s insurance would pay, but there are some circumstances where that’s not true.

I hit a parked car

If you hit a parked car, you must try to find the car’s owner or leave a note with your contact information and insurance company so the other driver can file an insurance claim. If you don’t do this, you could be found guilty of a hit-and-run.

Your own insurance should help with repairing the other car in this type of incident. If you have collision coverage, that will help with damage to your car.

Someone hit my parked car

If you know who hit your parked car, their liability insurance should help cover the damage. Stay calm and get their contact and insurance information. If you don’t know who hit your car, your comprehensive coverage or uninsured motorist property damage coverage should kick in.

How to find affordable insurance for parked cars

Insurance costs can be a real thorn in a driver’s side. Fortunately, car insurance comparison tools make it easy to get insurance quotes so you can compare deductibles and other differences between policies.