Understanding Loss of Use Coverage on your Auto Insurance
Everyday you’re hustling and bustling. You get up, get the kids dressed, make breakfast… did you brush your teeth? You check the calendar before running out the door and realize that both kids have ball games tonight… at different places. While driving the kids to school, BAM, you are rear ended. You are hoping it’s just a scratch until you get out and see that it’s more than that.
Your vehicle must go to the shop for repairs, and they’re saying your car will be in the shop for two weeks. How are you supposed to do your super mom duties with no car? How are you supposed to pay for a rental car when you’re already scraping by as it is? This wasn’t in the budget, and it wasn’t in the plan. This is when your Loss of Use coverage can save the day.
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What is Loss of Use coverage on auto insurance?
Loss of Use coverage will provide transportation to you when you have been in a covered accident and are unable to use your vehicle. Whether you take a taxi, a bus, or rent a car while yours is being fixed, Loss of Use coverage can help you not miss a beat.
If you are on the fence about this coverage, consider this; according to LegalMatch (Loss of Use Claim | Loss of Use Coverage | LegalMatch) there is roughly 4 to 6 million accidents per year, which results in hundreds of millions of vehicle property damage alone. This inexpensive coverage can save you big money (and a headache) when needed.
If you’re in an accident and you have Loss of Use coverage, here are the steps you should take.
- Contact your auto insurance company ASAP and explain that you’ll need to file a claim for Loss of Use.
- After reviewing your policy with your insurance company, you will know how much you can claim per day based on the daily limit of liability that you have selected on your policy.
- Make sure you get pictures of the damage and quotes from the auto shop. This will help you know how long the repairs can take.
- Have all the proof and details in writing so your claim can be processed smoothly and quickly.
Just having Loss of Use coverage may not be enough. When faced with having to use it, you may realize your coverage limits only covers a small two-door car when your family will only fit in a large SUV. Your agent can help you determine how much Loss of Use coverage you need to keep your daily life from being interrupted after being in a covered accident.
Everyday life is hectic enough, the last thing anyone wants to worry about is how they will get from one place to another. If you’re not sure if you have Loss of Use coverage or if you would like to add this coverage, contact your insurance company today to get it taken care of.