Can I Insure a Car with Prior Damage?
Buying Insurance for a Previously Damaged Vehicle
Have you purchased a car recently? Did you realize it has some damage you hadn’t noticed before? A small or medium-sized dent or a minor scuff mark might not seem like a big deal. But does that complicate the process of getting physical damage insurance for your new car?
Coverage for Prior Damage is Out of the Question
If your car presents some damage before you got insurance, it is certain that your new auto insurance policy will not cover it. However, there is some gray area that insurance companies might not be fond of it. Why? Someone could try to sneak the old damage into a new claim. That is considered insurance fraud and means previously damaged cars pose a higher risk for future claims.
Although not all insurance companies feel the same way about insurance vehicles with prior damage, significant damage could cause your insurance application to bounce back.
So, What Should You Do?
Before you decide to buy a vehicle, don’t rush through the process. Be sure to take your time to do a detailed inspection on it. If you find any damage you hadn’t previously been informed of, take the cost of the repair off of the purchase price. That way, you could keep some money in your pocket to repair your vehicle before you purchase an insurance policy — especially if you are looking to buy car insurance from a preferred insurance carrier.
Talk to you insurance agent in Colorado about your situation. Don’t try to hide current damage or any other relevant detail. It is best to be open and honest about everything. Your agent will need to know all the relevant information related to your vehicle to help you find the best possible solutions for your insurance needs.