Are Lost Or Stolen Car Keys Covered by Insurance?
We've all tossed keys in the car and it can be a huge problem to retrieve them. It's also not cheap to replace your keys, especially if you have an advanced key fob.
Fortunately Comprehensive car insurance (sometimes referred to as "other than collision" coverage) could cover the cost of lost or stolen keys. But is it worth the risk?
What is the Key Replacement Cover in Car Insurance?
The Car Key Replacement Cover add-on is an insurance policy that can be added to an overall auto insurance plan. It assists in reimbursing the cost of repair or replacement of keys or locks, as well as locksets in the event they are stolen, lost, misplaced or damaged. The policy is accessible online, easy to purchase and settle, and doesn't impact your no-claim bonus eligibility at the time renewal.
It's important to note that the cost of replacing lost or stolen car keys and your insurance deductible could not make it worthwhile. Outdated mechanical keys cost less to replace, while high-tech remote car keys can be costly. In these cases the cost of key replacement can easily exceed your deductible. If you submit a claim based on the loss of keys, it will remain on your record of claims which could result in higher renewal costs.
If you're in the market for an insurance plan for your car that is comprehensive that offers car key replacement coverage, search for a policy that has an affordable deductible or no deductible to make the most of your money. It's also a good idea to compare quotes from a variety of insurance providers to determine the best deal.
The procedure for claiming key replacement coverage differs by insurer. In the majority of cases, it's essential to notify your insurance provider of the incident as soon as you can and to provide any documentation that could be required. Also, you'll need to file an FIR to the police, which is one of the most important documents required for the insurance claim of a car.
While most car insurance policies don't include key replacement coverage, many home and renters insurance policies permit you to claim under personal property protection insurance. The majority of homeowners and renters insurance policies will cover thefts of personal belongings, including car keys. The exact details of the coverage could differ from one insurance company to the next and therefore it is important to read the policy terms and condition carefully.
While most drivers understand the importance of having a functional and working car key, they fail to know that even a functional key can be damaged. Keys are susceptible to scratches, cracks, and other types of damage, making them more prone to break or even be stolen. Most of these issues are easily solved by regular maintenance and preventive maintenance.
Are Keys Covered for Wear and Tear?
Typically, keys for cars aren't covered under your car insurance policy. You can opt to purchase a separate protection for your car keys to receive assistance in replacing your lost or stolen key. This kind of insurance depends on several factors.
The cost of coverage is the first thing you need to be considered. The replacement of your keys might not be as expensive as you think. In fact, based on the type of keys you have such as electronic key fobs or traditional turn-key ignitions it's possible that they could be cheaper than your policy cost deductible.
It is also important to consider the cost of filing an insurance claim. No matter if you have complete coverage, your car insurance policy is likely to require you to pay the deductible before any damage claims are settled. If the total cost of the key replacement is greater than the deductible, it's unlikely that you'll be able to gain from making a claim.
Another aspect to be aware of is whether your renters or home insurance policy offers any protection for lost or stolen keys. Personal property insurance is typically included in these policies and covers the theft of keys as well as other items stolen from your home. However, it is important to note that your deductible will still be in effect and you could end up paying for keys that were stolen yourself.
Finally, you should contact your local car dealer to see if they offer any specific key-related insurance as part of the buying process. If you purchase this coverage when you buy your vehicle you can save money in the future if you need to replace the keys.
The majority of automobile insurance policies don't offer important replacement coverage, however some companies offer it as an optional add-on or a standalone product. The extra cost of this coverage will depend on the specific requirements you have as well as the amount of money you can afford each month to pay for your policy. If you decide to buy this coverage be sure to keep the receipts so that you can claim the insurance in the event keys get lost or stolen.
Do I have to file a Claim for a Key Replacement?
If you have extensive auto insurance, your policy may cover lost keys. In addition, the insurance company may offer key replacement cover as an option at an additional cost. Some providers have nationwide networks of locksmiths who can provide the services needed to replace your keys or change the code of your immobiliser even if the key was never removed from the vehicle. This can be a valuable service in the event that you've lost your keys forever or you are locked out of your vehicle. A lot of cars have electronic ignition systems that need to be programmed to start the vehicle.
If your car keys were stolen, you'll need make a claim with the police and file a first information report. You'll also need to call your insurance company and provide the necessary documents. Some providers offer cashless settlements if you visit one of their network garages and request a replacement key. You'll need to ensure that the replacement cost does not exceed your deductible, and you comply with other requirements outlined by the insurer.
In most instances, it's not worth filing a claim for a lost or stolen key. This is because a typical automobile insurance deductible is $1000 and your keys may only cost $200-$500 each to replace. If you have a spare you can usually afford to pay for the new keys from your pocket. You will also avoid the possibility of having your insurance premiums rise in the future as a result.
However, if you have items stolen from the car that are covered by other types of insurance such as renters or homeowners, it may be worthwhile to file a claim. This is true especially if you have a low-deductible and the item is valuable or difficult to replace.
It's not likely, but certain car insurance companies may permit you to add an endorsement to your policy that covers the loss or theft of your car keys. This type of insurance could be added to the comprehensive coverage. It's best to discuss your options with your insurance provider before purchasing a vehicle.
Can I file a claim for key replacement if I have left the keys in the car?
Your state and your insurer will decide if you can make a claim when you lose your keys. Some states have laws that permit you to obtain key replacement insurance as part of your comprehensive insurance or other than collision coverage and some don't. Also, you should know that if your keys are stolen while your car is unlocked, with the engine running and the vehicle parked in a public place and you are unable to claim a reimbursement through your auto insurance. However, you may still be able to make claims through your insurance for property or vehicle protection on your policy.
The majority of insurers won't pay out when you leave your keys in your vehicle. This is because it is considered negligence. In certain cases, you might be able to file claims through your home insurance or a get more info roadside service plan that provides locksmith services. Some of these plans include an area that addresses keys that have been stolen or lost. A claim for stolen car keys is not worthwhile unless there's serious damage or accident to the vehicle.
Even then, filing a claim for the cost of a lost or lost key could be risky. If you file a lost-key claim and it is found that the theft was not caused by an event covered such as a car accident or tornado the insurance premium could go up.
It's usually cheaper to replace your car keys in the event that you lose them than to file a claim to pay for replacing your car. Replacing your regular key can be relatively inexpensive and most likely you won't pay more than the deductible of your insurance policy. A smart or transponder can cost you up to $200 or more, if you take into account the cost of labor and the hourly charge for programming.