Can I stop paying insurance on a car I don't drive?
Asked by: Elisha Hansen | Last update: July 29, 2025Score: 4.4/5 (24 votes)
Can I cancel insurance on a car I don't drive?
You may be able to pause your auto insurance if you're not going to drive your car for a certain period of time. However, you may be unable to temporarily give up all of your coverage, depending on your state's laws, your insurer's rules and your auto lender's requirements.
Do you have to pay car insurance if you don't drive?
Do you need insurance for a car in storage? Legally, you don't need insurance coverage for a car that's not being driven and is in storage. However, if the vehicle gets stolen, vandalized, or damaged in an accident or weather-related event, you'll be responsible for any resulting expenses if you don't carry insurance.
How long can you pause car insurance if not driving?
Although auto insurance is required by law in almost all states, some insurance providers may let you suspend your car insurance. Typically, your car must be in storage for at least 30 days, and you can suspend liability and collision coverage while retaining comprehensive coverage.
How do I stop paying insurance on a car?
- Purchase new coverage, if you will be driving again. This should be done before you cancel the old policy, to avoid a lapse in coverage. ...
- Connect with your insurer. ...
- Sign a cancellation letter, if required. ...
- Request a policy cancellation notice.
Does My Car Need Insurance If I’m Not Driving It?
Is there a penalty for cancelling car insurance?
At the same time, you might also be subject to a cancellation fee. Many companies don't charge such penalties, but with those that do, you can expect to pay a flat fee of under $100 or around 10% to 15% of the remaining policy premium.
Can I lower my car insurance if I pay off my car?
These things could all make your insurance cheaper. You've paid off your car. Simply paying off your car won't lower your premiums, but getting rid of some of the required coverage might.
Should I keep insurance on car that doesn't run?
The answer is technically yes, although it's important to cancel your vehicle registration or file an affidavit that you're not operating the vehicle with your DMV first. Additionally, there are reasons to maintain coverage, even while you're not driving your broken-down car.
Is it better to cancel or suspend car insurance?
Suspending your car insurance coverage and maintaining comprehensive coverage is typically a better idea than canceling your auto insurance policy. You may need to keep liability insurance per state laws as well. Canceling is only a good idea if you're getting rid of your vehicle and plan to go carless.
How long can you be behind on car insurance?
What is a car insurance lapse grace period? Your car insurance policy won't be cancelled immediately because you miss a payment. Auto insurance companies are required by state law to provide notice before cancelling your policy. Depending on the state, you'll usually have between 10 and 20 days.
Can I take insurance off my car if I'm not driving it in Texas?
You'll need to keep the legally required auto insurance coverages. But you can remove optional add-ons like roadside assistance and custom parts and equipment coverage to save money while you're not driving.
Can I take insurance off my car if I'm not driving it in Florida?
have continuous coverage even if the vehicle is not being driven or is inoperable. Surrender the license plate/tag BEFORE cancelling your insurance. purchase the policy from an insurance carrier licensed to do business in Florida.
How long can your car be uninsured?
It is a crime to drive almost anywhere without car insurance coverage, even for a minute or just down the street. So, how long can you be without car insurance? If you're driving, you can't. Anytime you get behind the wheel as a licensed driver, you need insurance coverage or you'll risk incurring major consequences.
Do I need to insure a car if I don't drive it?
Almost every state requires registered vehicles to carry at least the minimum level of coverage. Even if you are not driving, having a registered vehicle without insurance is illegal in most states. Plus, the couple states that don't require insurance do make you demonstrate financial responsibility in other ways.
Can I take insurance off my car if I'm not driving it in PA?
Temporary Or Permanent Non Use Vehicles
In Pennsylvania, you can file an affidavit to the Department of Transportation to avoid having to carry insurance during this time if you are not operating your car on public roads. It's crucial to keep in mind that during this period, the car cannot be driven at all.
Can I take insurance off my car if I'm not driving it in Arizona?
If you will not be driving your vehicle in Arizona for an extended period (while it is in storage or not driveable), you may temporarily discontinue your Arizona insurance policy. If you discontinue your insurance, you must notify us that you are de-insuring.
Can you pause car insurance if not driving?
If you own a car, you need to be insured in some capacity. Unfortunately, there's no way around that. However, insurance companies are able to temporarily suspend your liability coverage if you won't be driving your vehicle. This saves you money because you won't be paying for coverage that you don't use.
Do I get penalized for Cancelling car insurance?
Generally, insurers will refund you the money for the unused portion of your policy, assuming you paid in advance. However, depending on your state, and when you cancel, your insurer may charge a cancellation fee.
What happens if you stop paying insurance on a financed car?
Force-placed Insurance
Your lender can force place insurance on you if you fail to maintain your own coverage. This means your lender will get insurance for you, but they're not helping you out. Force-placed insurance is often very expensive, and it doesn't offer good value.
Can I cancel insurance on a car that doesn't run?
The other thing to keep in mind, is that liability insurance is required on all registered vehicles, even if the vehicle is not being driven. So, by canceling your coverage, you run of the risk of having the registration for that vehicle being suspended and you being fined.
Is it bad to run your car and not drive it?
Leaving a car idling for an extended period can cause premature engine wear. When a car is running, all the components create conditions where there's more heat and less oil and coolant flow, engaging the cooling fans and electric water pumps, and wearing down the vehicle's catalytic converter.
At what point is car insurance not worth it?
If your vehicle is paid off, there are only a few instances that justify dropping collision coverage: Your vehicle's value is less than a few thousand dollars: If your car holds minimal value, collision coverage may not be worth carrying. This is especially true when a large car insurance deductible is involved.
Does it hurt to cancel car insurance?
Canceling your policy too soon means you may face legal repercussions, like hefty fines or having your license suspended. When you cancel, you'll have a lapse in coverage. This isn't a problem if you won't be driving.
How can I bring down the cost of my car insurance?
Some of the most impactful ways to lower your car insurance include qualifying for multiple discounts, avoiding accidents, and changing your coverage. Comparing rates, trying usage-based insurance, and knowing how your vehicle might affect your rate can also help.
What type of insurance should you have on a paid-off car?
So, you'll want to maintain physical protection (your collision and comprehensive coverage) to protect it — these coverages are recommended as long your vehicle retains a worth of at least $4,000.