Planning on going away this winter to escape the cold? If so, will you be leaving your car at home? If your answer if yes, then you may be wondering if you should keep your vehicle insured for the time you will be away
At first thought, cancelling your insurance and saving money seems like the obvious choice – however, there are actually a number of reasons why it may be in your best interest to maintain your vehicle insurance.
Let’s look at 3 reasons why you should maintain your vehicle insurance while you’re away:
1) Protection Against Theft and Damage
If your vehicle is left at home while you are away, even if you think it will be safe, there is always a chance that it could be damaged or stolen. If this is the case and you have in fact cancelled your insurance policy then you will be responsible for any financial costs associated with the damages.
On the other hand, if you keep your coverage and your car does fall victim to theft or damage, your insurance policy can help cover the cost of repairs. Additionally, if weather-related circumstances damage your vehicle, like a fallen tree or a collapsed garage roof, you should also be covered. There are many unforeseen incidents that could occur while you are away, and keeping your car insured is the best defense against any financial burdens that may arise.
2) Rates/Insurance Costs Stay the Same
Another reason it is recommended to keep your vehicle insured while away, is because your rates could increase when you decide to purchase another policy when you get home. The money you save from cancelling your insurance while away may not actually outweigh the potential increase in insurance rates that you will seek out after your return. Therefore, keeping your insurance for the time you are away may actually be a more financially-sound course of action.
3) Being able to Drive Your Vehicle as Soon as You Arrive Home
In the event you decide to come home earlier, and you cancelled your insurance coverage before leaving, then you won’t be able to use your vehicle as soon as you get home. In the case of having to come home for an emergency situation, if you can’t drive your vehicle when you might really need to, this could cause an added level of stress to your life that you just don’t need.
To add to this potential burden, say you do decide to use your vehicle without insurance coverage, this will lead to serious ramifications for you as a driver in Canada – as it is illegal to drive without having car insurance. Additionally, if you are in an accident, and were driving uninsured, you will not be given any financial support for any loss or damages.
All in all, keeping your vehicle’s insurance policy in place while you jet off for a few months is highly recommended as a safety net. In order to protect you and your vehicle from an expensive headache, consider your options wisely and what it may mean to maintain or cancel your vehicle insurance while you’re gone.
Understanding your responsibilities is an extremely important part of owning or leasing a vehicle. If you don’t currently own or lease a vehicle, but are looking into it, we can help you find the appropriate financing for your situation. Unlike many traditional banks and loan facilitators, we can help individuals with bad credit find a loan and re-establish their credit one loan payment at a time. So if you are looking to finance a car, you can turn to us for the assistance you need!