Someone who has had his or her car stolen may be wondering about the answer to the question, “Does homeowners’ insurance cover auto theft?”. The homeowners’ policy does provide some protection, but not for the vehicle itself. A policyholder can make a claim for the loss of items in the vehicle at the time it was stolen under his or her home insurance policy, but the vehicle itself is covered under the auto insurance policy.
If a vehicle is stolen, the owner may need to make two insurance claims. The first one would be to the issuer of the auto insurance policy to report the loss. The owner can also make a claim for any personal items which were in the vehicle at the time under his or her homeowners’ policy.
Auto Insurance Theft Coverage for a Burglarized Vehicle
If the car was burglarized but not stolen, the owner may still be looking at making multiple claims. Damage to the vehicle itself would be covered under the auto insurance policy, as long as the owner has comprehensive insurance in place. This is the part of the policy which pays for physical damage or losses caused by something other than a collision.
Comprehensive auto insurance coverage pays for physical damage caused to the vehicle during the break-in. It covers items which are attached to the vehicle, such as the stereo. Items which are used in the vehicle but do not form part of it, such as a GPS (Global Positioning System) unit, are not covered under the auto insurance policy, but the owner can make a claim under a homeowners’ policy for it.
Homeowners’ Insurance Coverage: Theft From a Car
The personal property coverage component of a homeowners’ policy will be listed under “Coverage C – Personal Property.” The policyholder’s personal items are covered no matter where they are. A policyholder should review his or her coverage carefully to find out what is covered and what the policy limitations are.
In a number of homeowners’ policies, personal items away from home are insured for a portion of the value of the coverage in place on the home itself. Electronics and computers often have a number of coverage limitations placed on them, and these are items which are commonly targeted by car thieves.
Making an Insurance Claim for Auto Theft
If the homeowners’ and auto insurance coverage are held by the same company, making claims for losses when a car is burglarized or stolen should be an easier process. After the loss has been reported to local police, the next step should be to contact the insurance companies which hold the policies.
The owner will need to describe the items which were stolen, and the insurer will pay out on the claim if they are not recovered. The insured is responsible for paying the policy deductible, and if the value of the items lost is lower than or close to the deductible, it may not be worthwhile to file a claim with the insurance company for personal items only.