A discount on garages and warehouses rewards drivers with a reduction in the rate for being safer and more responsible customers. Your parked cars should be kept in a space. Your parked cars must be stored in a space approved by your insurance company in order to qualify for this discount. Pay-per-use insurance is another type of alternative car insurance coverage that is billed based on a monthly base fee and the number of miles accumulated in your vehicle.
Even if you're parked on the street or in an open driveway, insurance considers the address where that space is located as the place where your car is parked. While it might be tempting to use someone else's address for car insurance to get better rates, you shouldn't. This discount generally only reduces collision and all-risk policies, not the liability auto insurance coverage required by most state auto insurance laws. If an auto insurance company determines that its driver is not at fault for a car accident, the driver will be denied to file a claim with a third party.
Car insurance companies set their rates based on several factors, such as your age, zip code, what type of car you drive, and where you park it. This information may be different from what you see when you visit the website of an insurance provider, insurance agency, or insurance company. If you have a car accident and end up needing coverage, your car insurance company may cancel your policy for misinformation if you haven't kept it up to date. If you park your car on the street and it is hit by someone who has just been driving away, your collision coverage has to pay for the damage, which is another reason why your insurance company may offer lower rates for parking in a garage.
The options that some storage facilities have are to provide insurance for your car in case of theft or damage while in your possession. Parking your car in a garage protects you from this type of damage, so your insurance company may charge you a lower rate if your car is securely parked in a garage. Many insurance companies offer lower rates if you park your car in a garage, but only on full-coverage policies. Auto insurance companies focus on factors backed by data, such as the make and model of your vehicle, your driving history, who else drives the car, the way the particular type of vehicle you drive in the event of a collision, and your credit rating, says Chris Hackett, director of personal lines at the United States Association of Property Accident Insurers.
While most insurers offer various discounts on auto insurance, not all of them offer discounts for parking or storing your vehicle. He has spent many hours helping his customers understand the insurance market so that they can find the best auto, home and life insurance products for their circumstances.