Renters insurance doesn’t cover car damage, despite your car being property. Instead, an auto insurance policy with comprehensive and collision coverage takes care of damages to your car.

Comprehensive insurance covers the cost of repairing or replacing your car if it gets damaged due to a non-accident incident, like animal damage, weather-related incidents and vandalism. Meanwhile, collision insurance pays for the repair or replacement of your car if it gets damaged in an at-fault accident.

Keep in mind: while carrying auto insurance is required by law, comprehensive and collision coverage are optional. Adding them to your policy means a higher car insurance premium but protection from car damage that renters insurance does not cover.

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Car damage is not covered by renters insurance. The best way to protect your car from damage is by adding comprehensive and collision coverage to your auto insurance policy.


Why Doesn’t Renters Insurance Cover Car Damage?

Renters insurance is an excellent option for protecting your personal belongings. However, that doesn’t include your car. If it gets damaged in some way, your renters policy will not cover the cost of its repair or replacement. Your auto insurance does.

Auto insurance is a contract specifically designed to protect you against financial loss in case your car gets damaged in an accident or a covered incident. Essentially, you pay a premium in exchange for protection provided by your car insurance company.

The same applies to car theft. Instead of renters insurance, your auto insurance would reimburse you for the value of your vehicle or its contents if stolen.


Do You Need Coverage for Car Damage?

If you’re a renter who owns a car, an auto insurance policy with comprehensive and collision coverage can protect it in the event of an accident. Below, MoneyGeek broke down important reasons why getting coverage for car damage is essential.


Where to Buy Renters Insurance

You can purchase renters insurance from most major insurance providers, such as State Farm and Farmers, as well as smaller companies, like Lemonade and Toggle. Typically, renters pay an average of $13 per month for a policy, but your actual rate varies depending on several factors. That’s why comparing quotes for renters insurance is important.

The amount of your personal property is one factor that affects the cost of your renters insurance premium. You can use MoneyGeek’s personal property calculator below to determine how much coverage you need based on your possessions.


About Mark Fitzpatrick

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Mark Fitzpatrick has analyzed the property and casualty insurance market for over five years, conducting original research and creating personalized content for every kind of buyer. Currently, he leads P&C insurance content production at MoneyGeek. Fitzpatrick has been quoted in several insurance-related publications, including CNBC, NBC News and Mashable.

Fitzpatrick earned a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He is passionate about using his knowledge of economics and insurance to bring transparency around financial topics and help others feel confident in their money moves.