When Should You Take Collision Off Your Insurance Policy

[GLALNP]

The title says it all.
How old should your vehicle be when you take collision off?

[hagbard]

When the car is worth less than the insurance. :lol:

I'd drop it once the car is worth less than about $3500 if I'm a normal driver, but since I'm better than that, I'd do it at $5000.

[Billa-786]

Does it make a significant difference in your monthly premiums?

[gordholio]

Does it make a significant difference in your monthly premiums?

It does in most cases, if not all cases.

[SkylineGTR]

I was paying a little over $150 a month (for 1 year but separated into monthly payments) for insurance and I just took off the collision and I now pay only $100.xx. So it was a huge difference for me.

[corrupt123]

It depends on what the cars worth to you. I was driving a car that I paid $1200 for (value was around $2000 though) and if I had collision with a $1000 deductable, it'd be like I was insuring for that $200 difference. Even the original car value of $2K woudn't have been enough to justify it.

[Jucius Maximus]

Be careful with this. I was ready to take the collision off the policy for my 10 year old Camry and then I got rear-ended in the parking lot. It is a good thing I had collision because I would not have otherwise gotten a rental during the repair even though it was deemed to be 100% the other person's fault.

[tamil]

It depends on value of your car and the car you have. If its a import car under 5 grand, it might cost a lot to get parts for it and fix it up. But if you have a Honda/Toyota/GM , I would take it off once its under 2500. That's only if your a good driver.

[cykso]

Be careful with this. I was ready to take the collision off the policy for my 10 year old Camry and then I got rear-ended in the parking lot. It is a good thing I had collision because I would not have otherwise gotten a rental during the repair even though it was deemed to be 100% the other person's fault.

This is not 100% correct. If you're 100% not in fault then it will claim under your DCPD coverage(mandatory coverage). Which including car rental as well.

[COSMIC5]

Once you remove collision you will not be covered for hit & runs either. You have to keep in mind, that if you don't have colln coverage on your vehicle and you have an at fault collision loss, can you afford to fix your vehicle yourself and pay for a renta? If you can, then you've answered your own question.... (rental coverage or end't #20, is also a separate coverage you can get with colln coverage).

[Topher]

Be careful with this. I was ready to take the collision off the policy for my 10 year old Camry and then I got rear-ended in the parking lot. It is a good thing I had collision because I would not have otherwise gotten a rental during the repair even though it was deemed to be 100% the other person's fault.

It must be your insurance then. I got a rental car when I totaled my wife's car (other guy was 100% at fault and received a traffic citation). It was 15 years old at the time and was worth less than my yearly premium (even without collision).

[thephenom]

Once you remove collision you will not be covered for hit & runs either. You have to keep in mind, that if you don't have colln coverage on your vehicle and you have an at fault collision loss, can you afford to fix your vehicle yourself and pay for a renta? If you can, then you've answered your own question.... (rental coverage or end't #20, is also a separate coverage you can get with colln coverage).

Actually for a hit & run, if you could write down the plates, that would be enough to process a claim.

[COSMIC5]

Actually for a hit & run, if you could write down the plates, that would be enough to process a claim.

only if the hit & run driver is identified...alot of times they are not.

[cykso]

only if the hit & run driver is identified...alot of times they are not.

You can always file a claim for Hit-and-Run. Different situation and will make it claims under different coverages.

If you're able to identify the hit and run and he is insured in Ontario, then it is covered under DCPD. If you cannot identify the guy who hit you, then it covered under collision. And if you don't have the collision coverage, then it is covered under UA (Uninsured Automobile)

HTH,

[COSMIC5]

You can always file a claim for Hit-and-Run. Different situation and will make it claims under different coverages.

If you're able to identify the hit and run and he is insured in Ontario, then it is covered under DCPD. If you cannot identify the guy who hit you, then it covered under collision. And if you don't have the collision coverage, then it is covered under UA (Uninsured Automobile)

HTH,

are you in the insurance business?

[thephenom]

only if the hit & run driver is identified...alot of times they are not.

From first hand experience when I was involved in a hit and run, my insurance company told me that I only needed a plate number to have a claim. (I didn't have collision coverage on my old car)

[cykso]

are you in the insurance business?

Yes, I do. :lol:

[Jucius Maximus]

It must be your insurance then. I got a rental car when I totaled my wife's car (other guy was 100% at fault and received a traffic citation). It was 15 years old at the time and was worth less than my yearly premium (even without collision).

Interesting, I was given that information by the body shop, not the insurance company. Maybe the body shop guy was wrong.

[totech]

The title says it all.
How old should your vehicle be when you take collision off?

When you can afford to walk away from the car.

i.e. you can replace the car easily, and its value is negligible - ie any NA 5 years old.

[Topher]

Interesting, I was given that information by the body shop, not the insurance company. Maybe the body shop guy was wrong.

I didn't have to ask for the rental, the insurance company offered it, so of course, I took them up on it.

[wally_walrus]

Be careful with this. I was ready to take the collision off the policy for my 10 year old Camry and then I got rear-ended in the parking lot. It is a good thing I had collision because I would not have otherwise gotten a rental during the repair even though it was deemed to be 100% the other person's fault.

Is paying 35% more each month worth having a rental for a few days?

[COSMIC5]

Be careful with this. I was ready to take the collision off the policy for my 10 year old Camry and then I got rear-ended in the parking lot. It is a good thing I had collision because I would not have otherwise gotten a rental during the repair even though it was deemed to be 100% the other person's fault.

You would have rec'd one anyhow since third party was 100% at fault.