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If you’re in an accident or your car breaks down, you may need to get your car towed to the nearest repair shop. The price of towing can be steep, especially if you need to go a long distance. You may find yourself wondering if car insurance will cover that cost, and the answer is: sometimes.
Let’s dive into when insurance covers towing and when you will need to pay out of pocket.
Key Points
• Car insurance can cover towing costs for collisions or non-accident damage.
• Standard policies exclude towing for mechanical issues; roadside assistance is usually needed.
• Roadside assistance covers breakdowns, flat tires, and lockouts.
• Document the incident, gather information, and keep towing receipts for claims.
• Towing and impound fees from traffic violations are not covered.
When Does Auto Insurance Cover Towing?
Ultimately, whether or not your car insurance covers the cost of towing will depend on the coverage you have and whether or not you’ve been in an accident.
If you’ve been involved in a collision and can’t drive your car, your collision coverage may pay for towing. It’s also possible that if you’re in an accident in which you’re not at fault, the other driver’s insurance will cover these costs.
Overview of Towing Coverage in Standard Policies
There are several types of car insurance. Most standard auto insurance policies don’t include towing coverage for mechanical breakdowns or other issues not related to a car accident. That said, you may be able to purchase optional roadside assistance from your insurance company.
Conditions That Must Be Met for Towing Coverage to Apply
If you do decide to purchase roadside assistance, there are often certain conditions that must be met before you can use it. For instance, the tow service may be able to tow your vehicle anywhere within a certain radius or to the closest qualified repair shop beyond that radius.
Other roadside services might include jumpstaring your car, delivering fuel, providing locksmith services, or winching in case your car is stuck in mud or snow.
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Does Car Insurance Cover Towing After an Accident?
It is possible that your insurance will pay for towing if your car has been in an accident, either through your collision or comprehensive coverage.
Explanation of Coverage for Towing Following a Covered Accident
Collision insurance covers costs associated with an accident with another vehicle or a stationary object, such as a telephone pole. If you can’t drive your car after this type of accident, your collision coverage may pay for the cost of towing.
Collision insurance usually requires you to pay a deductible before it kicks in. For example, if you have a $500 deductible and your car sustained $2,000 in damage, you’ll need to pay that $500 first before your insurance company steps in to pay the remaining $1,500.
Comprehensive insurance covers damage in non-accident events, such as theft, vandalism, and natural disasters. For example, depending on your coverage, if a tree branch fell on your car and you’re unable to drive it, your comprehensive insurance might pay for the cost of towing it to the nearest repair shop. Comprehensive coverage also typically comes with a deductible.
Process for Filing a Claim for Towing After an Accident
To file a claim after an accident, you’ll first want to make sure that you document the damage with photos and videos. If another driver is involved, get their contact and insurance information. You’ll also want to make a note of the driving conditions, including weather and visibility. And get contact information for any witnesses.
Get a receipt or invoices from the whatever reputable towing company tows your vehicle, and keep a copy for your records as well.
Next, contact your insurance company to file the claim. They will likely assign an adjuster to assess the claim and damages, and you may be asked to provide them with whatever information you gathered, including the receipt from the towing company. Once they’ve reviewed the case, your insurance company will offer you a settlement.
If you are not at fault in an accident, the other driver’s insurance may cover the cost of towing.
Does Car Insurance Cover Impound Fees?
Your car insurance does not usually cover the cost of impound fees except in certain accident-related circumstances.
Definition of Impound Fees and How They Are Incurred
An impound fee is the charge you have to pay when your vehicle has been towed and stored in a secure location, such as an impound lot. Much of the time, cars are impounded due to traffic violations, like accidentally parking in a tow away zone.
In some cases, if your car is in an accident and needs to be cleared off the road, it may be towed to an impound lot. This might happen if you as the driver are incapacitated due to injury, for example.
When Insurance May Cover Impound Fees
If your car is towed to an impound lot due to an accident, your insurance may cover the impound fees. However, if your car is towed for other reasons — like not moving it on a street cleaning day — then your insurance probably won’t cover the impound fees.
Guidelines for Filing Claims Related to Impound Fees
Want to file a claim for your impound fees? You’ll want to follow the same steps as you would for filing a claim.
But there are a couple important things to note. First, impound fees tend to be expensive, so you’ll want to get it out of the lot as fast as possible. This may mean paying the impound fees yourself first. Be sure to keep all receipts and documentation related to these fees, and provide them to your insurance company when you file a claim.
Roadside Assistance Coverage
Whether your car breaks down, gets stuck in the mud, or your battery dies in the grocery store parking lot, 24-hour roadside assistance can be a huge help. As mentioned above, this is an optional add-on offered by many auto insurance companies.
How to Determine if Roadside Assistance Is on Your Policy
Typically, you will have to choose to add roadside assistance to your policy. If you don’t remember whether you’ve done so, review your policy details or call your insurance company and ask.
Recommended: Car Insurance Online
The Takeaway
Does insurance cover towing after an accident? The answer depends on the type of coverage you have and the situation you’re in. The coverage you need in an accident is quite different from the coverage you need when your transmission fails at a stoplight. Understanding the coverage your have now can help you figure out when you’re on the hook for towing services — and whether adding roadside assistance could make sense
When you’re ready to shop for auto insurance, SoFi can help. Our online auto insurance comparison tool lets you see quotes from a network of top insurance providers within minutes, saving you time and hassle.
FAQ
Do I need roadside assistance if my policy already covers towing after an accident?
You might still consider roadside assistance even if your policy covers towing after an accident. Typically, collision or comprehensive coverage covers accident-related towing. But roadside assistance kicks in during other scenarios, such as breakdowns, flat tires, and lockouts.
Is there a limit to how far my car can be towed under my policy?
Depending on your policy, there may be a limit to how far your car can be towed. For example, you may need to tow the car to the closest reputable repair shop rather than a preferred repair shop farther away.
Does my insurance cover towing if my car just breaks down?
Your car insurance is unlikely to cover the cost of towing when your car breaks down, unless you have added roadside assistance.
How do I use my roadside assistance coverage when I need it?
To use your roadside assistance, you can first call your insurance provider, who can help connect you to local auto service providers. Alternatively, you may be able to call the service providers directly and have your insurance reimburse you. Check your policy details to understand which method is preferred by your insurance company.
Is it cheaper to add roadside assistance to my policy or get it from another service?
It could be cheaper to add roadside assistance to an existing policy vs. getting it through another service. That said, it is worth shopping around to help ensure you’re getting the best deal.
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