By June 18, 2007 0 Comments Read More →

Your car insurance and the bad times.

Reader question:

My husband died on deployment recently, and we’ve done most of what we need to do of all the unpleasant stuff–closing his accounts, debts, and so on. Now I need to know what to do about the car insurance, which we always had together. Some help?

Alice

Sorry about your loss, Alice.

Losing your spouse, or even divorcing him, can have a big impact on your car insurance policy, and, due to the nature of those situations, it’s always very difficult to deal with and go through the necessary changes. But, as with all necessary things in life, it is better to deal with it as soon and as quickly as possible, because pain does not make the problem go away.

When you get a divorce or lose your partner, the first thing you need to do is review your policy, especially the portions that include collision, liability, comprehensive, personal injury, and uninsured motorists. The asset changes that come with death and divorce will change the coverage benefits on your car insurance, so review is especially important. Think about adding on to your policy things like towing and repairs, gap insurance, and rental coverage. These are more important once you’re single.

In the case of divorce, insurance companies base coverage on where the car is placed when no one’s using it. If your ex-spouse moves, this change of address might null and void any payments necessary should an accident happen, although you might have your policy canceled. If the vehicle that the policy for is under both of your names, it is best to keep a joint insurance policy until all the divorce papers are signed and you have divided your properties.

Fashun Guadarrama.

Posted in: Auto Insurance

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