Many people want to drop required comprehensive insurance coverage on their home or vehicle as soon as possible. Once the property is fully paid for, there is no lender involved to tell that person they must have “X” types of insurance coverage. However, in trying to save money by dropping comprehensive coverage, an owner runs a far greater risk of putting themselves in a financial bind should an accident, vandalism or theft of property occur.
There are many benefits of comprehensive coverage that get overlooked in the rush to save money. Comprehensive insurance may seem like an added expense, but many forget how easily damage can occur. Get caught in a fifteen minute hail storm with hail stones the size of golf balls and you will find a dozen breaks in the windshield and multiple dents in metal. Larger hail can cause greater damage–even breaking metal surfaces and possibly total damage to a vehicle. Storms like this happen by the thousands in certain geographical areas. Other storm-related problems in many states are flash floods and wildfires.
Why risk bearing hundreds or thousands of dollars in repair or replacement costs alone when comprehensive insurance coverage is so affordable? Vandalism runs rampant in some cities; a thief may break car windows to quickly enter and steal the vehicle or contents. Even when garaged, a vehicle can incur damage or theft losses. Earthquakes can swallow a vehicle or destroy a home completely. Explosions, windstorm damage, falling objects and damage from a vehicle hitting an animal or bird can result in major expense for repairs or replacement.
Comprehensive coverage has many overlooked benefits besides the obvious for protection against theft and accidental damage. Ask your local insurance agent to detail everything that will be included in a new comprehensive insurance policy to replace one that has expired.