Does Car Insurance Cover Theft? A Comprehensive Guide

Car insurance covers theft only if you have comprehensive coverage. Basic liability policies do not protect against theft. Comprehensive insurance helps pay for the stolen vehicle and sometimes covers stolen parts or personal belongings, depending on the policy.

Why Theft Coverage Depends on Your Policy

Not all auto insurance policies include theft protection. While liability is legally required in most states, it only covers damage or injuries you cause to others. Theft coverage comes through comprehensive insurance, which is optional but highly recommended.

What Comprehensive Coverage Includes

Comprehensive insurance generally protects you against:

• Vehicle theft (full car theft or attempted theft damage)

• Theft of car parts, such as catalytic converters, wheels, or airbags

• Vandalism and break-ins

• Non-collision events like fire, flood, hail, or falling objects

What’s Not Covered Under Comprehensive

Even with comprehensive coverage, certain losses are typically excluded:

• Personal belongings stolen from your car (often covered by homeowners or renters insurance instead)

• Fraudulent sales or repossessions

• Losses above your policy’s coverage limits

• Unreported or delayed claims

Steps to Take if Your Car Is Stolen

1. Report the theft to the police immediately.

2. Contact your insurance company to file a claim.

3. Provide documentation, such as the police report and vehicle details.

4. Wait for the investigation before your insurer settles the claim.

Key Points

• Theft is only covered if you have comprehensive insurance.

• Liability-only policies never cover theft.

• Stolen personal items are usually not covered by auto insurance.

• Filing a police report quickly is crucial for claims.

FAQs

1. Does liability insurance cover theft?
No, liability covers only damage or injury you cause to others, not theft of your own car.

2. Will comprehensive cover stolen belongings from my car?
Generally, no—personal property is usually covered under homeowners or renters insurance.

3. Do I need gap insurance if my car is stolen?
Yes, gap insurance can help if you owe more on your loan than the car’s value when it’s stolen.

4. What happens if my stolen car is recovered?
Your insurer will assess the damage and either repair it or declare it a total loss.

Final Thoughts

Car theft can be financially devastating, but the right insurance coverage makes all the difference. Comprehensive insurance protects against theft, vandalism, and other non-collision losses.

At THAgency, we compare nearly 100 carriers to ensure you get the best coverage at the best price. With over 30 years of experience, we’ll help you find the right protection for your vehicle. Fill out the form below to get started.

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