Owning multiple vehicles in Newport Beach is pretty common. And when you don’t have a lienholder, you’re in a good position because you’re not paying interest on a car note. In this situation, California only requires you to have liability insurance. But if the vehicles sitting in your driveway or garage are newer models, having comprehensive and collision auto insurance is still a good idea.

Why Paying Cash for a Vehicle Can Create a False Sense of Security

When you’re financing a car with a lender, they’re going to require you to have collision and comprehensive coverage. This protects their financial investment. But once you own your vehicle outright, that requirement gets dropped.

At that point, the law allows you to just have liability auto insurance. Which saves you money. But it’s not a money-saver if you need hundreds (or thousands!) of dollars in repairs if your car gets damaged in an accident or because of something else.

California Law Requirements for Auto Insurance

The state of California requires 30/60/15 liability auto insurance. This coverage protects other people if someone is injured or their property is damaged and you’re at fault. But it doesn’t cover your own vehicle. Our team at Murvay Insurance can look at your policy for you to make sure you’ve got what you need in place. 

Here’s a good example scenario. You’re backing out of a parking spot at Fashion Island and back into another vehicle. Your liability insurance will cover the damage to their car, but you’ll be out of pocket for the damage to yours. An even worse scenario is if you’re in an accident and total your car. Or it’s stolen. You’re completely out of luck. 

How Auto Insurance for Multiple Vehicles in Newport Beach, CA, Can Make Things More Complicated

When you’ve got more than one vehicle, and they’re all on one single policy, each one has its own risk. Things like theft, vandalism, storm damage, accidents. All of these can impact any of your vehicles. Comprehensive will cover damages if there wasn’t a collision with another car involved. Collision takes over if you’re in an accident. If you don’t have both, you’ll be absorbing 100% of the cost to repair your car or replace it. 

Talk to a Professional to Be Sure You’re Protecting Your Investment

If you bought your cars outright, you’ve made a significant investment. Having the right insurance on all of your vehicles keeps you from having to pay twice for something you already own. Get in touch with us at Murvay Insurance to make sure you’ve got the coverage you actually need.