Being involved in a car accident can be expensive and terrifying, whether you are liable for it or not. But what happens if your car wasn’t even in your possession at the time of the accident? Will you be held liable for damages? What if you didn’t know your car was stolen at the time?
In addition, will your insurance cover the cost of a stolen vehicle? What happens if your car is stolen and you never see it again? Will you be covered for the items that were inside?
If a stolen car gets into an accident, you may be wondering if you will be held liable for the damages. Fortunately, you usually won’t be if you have properly reported the car as stolen. We’ll cover some of the basics you need to know in case your car ever gets into an accident after being stolen.
Who Is Liable For A Stolen Car In An Accident?
Car insurance and a stolen car can be a complicated combination. The good news is, if your car was stolen and you had the right insurance coverage, you shouldn’t be held liable. The bad news? If your car is stolen and you don’t have comprehensive insurance coverage, the vehicle theft won’t be covered.
Generally, you’ll have to file a claim to get compensation for damage to your vehicle that occurs when someone steals it. If someone borrowed your vehicle, you’ll be held responsible for any damages they incur. This liability may be waived if permission wasn’t granted, but this can be complicated.
For instance, if the victim of the accident successfully argues that the theft occurred due to negligence, you may be held accountable. The issue is that the thief can often not be prosecuted, as they usually leave the scene of the accident and can’t be found.
If your stolen car gets in an accident, be sure to contact an attorney before speaking to an insurance adjuster.
While you may not be held liable for the other person’s injuries, another question is: Will your insurance cover your own car’s damages?
What Type Of Insurance Will Cover A Stolen Car?
As a general rule, comprehensive insurance will cover things not caused by an accident, including theft. If all you have is basic liability coverage, then your insurance won’t cover car theft. Collision coverage will handle the cost of damages to your own vehicle after an accident.
So, to make sure that vehicle theft is covered, you’ll need to get comprehensive coverage, which also includes coverage for other non-accident damage types such as animal collisions, fallen tree branches, hail, vandalism, and break-ins.
If you don’t have insurance and your car has been stolen, you won’t be able to receive anything to pay you back for the loss of your vehicle. However, there are still some steps you can take to get your vehicle back.
What Should I Do If My Car Is Stolen?
First, make sure that it has actually been stolen. See if you parked it in a different location or if a family member or friend has it.
If you are certain it has been stolen, call the police. You should also see if your car may have been towed. Towing companies are often not obligated to contact you until a month has passed.
Call the police as soon as you know your car has been stolen. You will want to make a police report and tell them your vehicle identification number, make, model, and last known location.
Then, be sure you report the stolen car to the Department of Motor Vehicles. Take time to search for the car on your own as well.
If someone does get into an accident with your stolen car, the victims can file a claim on it even if there wasn’t a police report made at the time of the accident. Because of this, you need to report the car stolen and make sure the accident is documented, even if you’d rather sweep it under the rug.
What Will My Insurance Cover If My Car Is Stolen?
Comprehensive coverage will cover your vehicle, but not the items inside it. Renters or homeowners insurance might be able to cover the cost of stolen items.
If you get your car back during the claims process, contact the insurance company immediately so they can assess the damages to your car.
If it is damaged enough that fixing it isn’t feasible, the company will reimburse you the cash value of the car. If there’s only minor damage, the company will be able to reimburse you for damages so you can get it repaired.
Some insurers will require a waiting period of two to eight weeks for a stolen vehicle. If your vehicle is recovered during this time, they won’t pay out the stolen vehicle claim. Insurance companies have to be careful about stolen vehicle claims, as insurance fraud is a major issue.
The total cash value of your car could be negotiated. Insurers often start at the low end of a vehicle’s value, so compare costs and do your research so you can demand a better offer.
Know Your Coverage And Liability Limits
Stolen cars that are uninsured are unfortunately not going to be covered by your insurance, although if the accident is caused by the other driver, it may be possible to file a claim with their insurance. Talk to an attorney if you have any questions.
To make sure your vehicle is fully covered in the event of an accident that occurs after it was stolen, you should get a comprehensive insurance policy.
To make sure you are not held liable for the accident, be sure to report the car as stolen and be able to prove that you did not give the driver permission to use your car. This means that you should be careful about where you leave your keys, who has access to them, and who you let drive your car.
Deborah Goldberg writes and researches about stolen cars, vehicles, coverage, and more for the auto insurance comparison site, 4AutoInsuranceQuote.com.
