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Should I keep auto insurance on my car if it's just sitting in a parking garage?
I work from home now due to the pandemic. I have a car, but I never drive it. I was going to give it to my sister, so I'm not sure if I still need insurance on it. Should I keep the policy on it until my sister gets it, at least?
Eric Schad · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“The answer depends on whether you’ll be getting another car in the future. If you cancel your insurance, you’ll have a lapse in coverage, which can result in higher premiums when you buy car insurance later on.
If you do plan to get another car, but you won’t be driving your current car again, you can opt for a storage plan, which is essentially an auto policy with
comprehensive coverage
only. This will protect your car from perils like fire, theft, and vandalism, and it may be cheaper than having a standard liability policy.View full answer
- Gregory R.
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