Do you carry collision coverage?

I am at a stand still trying to decide what to do. I have full coverage on my 98 Cherokee. It is completly stock. Its the only car I have. I drive it for work every day. I currently have full coverage on it through Allstate. 90% of the mileage I put on it is work related and if I got into an accident during work hours it would be covered by my employer. If I drop it back to comp coverage only i can save a good chunk of change.

Question is- do you have full coverage on your Heep? It is in perfect shape less a small dent on the right side of the roof and a small dent on the left fender. Should I drop the collision coverage and save some cash?

For the XJ: No, I just can't justify the extra cost + the deductible. For the wife's 08 Sienna that we own outright, without a doubt. It's worth it for the extra cost and $500 deductible.

ALL my vehicles have full insurance....500K/1000K liability, comprehensive (0 deductible), under/uninsured motorist, towing, etc. no matter what shape they are in or how they are driven.

My vehicles include....92 Honda CBR600F2, 94XJ, 98TJ and an 06 Volvo S60.

The only problem I have is that the TJ is under insured on my part. All State will only insure its high blue book value and It outdoes blue book by $20-30K.

Does your work only cover liability only or everything? If you stop for coffee on the way to work and someone steals your wench, are you covered?

Having full insurance is worth the relaxed felling I have when I park somewhere other than my garage. IMO

If 90% of the driving is for work and they'll cover it, I'd say no.

Also, owning a house, and having it insured as well as my vehicles by All State makes for inexpensive insurance.....oh yeah, being 32 does hurt much either.

Hate to throw a wrench into the party, but that employer rider is going to cover the other peoples property and your employer's liability. I doubt you have any coverage on your xj unless you are paying for it.

Nope, insurance will never pay what it is worth anyway. If i ever wreck it I'll strip all the parts I want and install them on my next XJ.

No on my 1992
Yes on my 2000
its all a matter of bluebook value weighed against salvage value.

A simple fender bender can total a hooptie. Why cover it?
Its worth more in scrap tonnage after that.

But its still a gamble. What if you don't cover it and the worst happens. What if no valuable parts are salveagable? Then full coverage would have been the best option.

It's all a best guess on incomplete information. I'd drop collision after 150k. And start collecting parts!

If it's your DD and your only vehicle, and you depend on it for work, you probably don't want to try to save money there. Mine is far from perfect, but I don't want to buy another, or give up driving. Full coverage since I bought it- I had to learn the hard way with my RX-7 after a few hit and runs.

Only you can answer that question as we don't know your financial situation. Your vehicle is getting to an age where it is a good idea to review your coverage. As this is your primary vehicle, your answer may be different than others who don't depend on it like you do.

Do you have enough of an emergency fund to cover replacing your vehicle in the event of a serious accident? If that would put you in a bind, it may be wise to keep the collision coverage and consider applying a deductible as high as you can afford to keep the premium reasonable.

I have $1000 deductible on all my vehicles. Through the course of a lifetime, having a high deductible policy will save you a lot of money on premiums (do the math if you don't believe me) and in the event that you do have an accident, the amount that you have saved by having a high deductible will easily cover the cost of paying out that deductible.

$1000 deductible "collision" for my 1999 daily driver XJ costs me $44.12 every 6 months. Not too bad.....

like birchlake said: if you have an emergency fund to but another vehicle, in case of an at fault accident, then you don't need the collision.

in my situation i have a 99 classic cherokee (85,000 miles) with just liability coverage on it.

also keep in mind i would not believe your employer has you covered on your vehicle! you still have to let your insurer know that the vehicle is being used for commercial purpose. just fyi i would investigate your employers claim in detail! because: if you wreck, and your at fault, you might be left holding the bag when you employer won't cover it and you ins. co. finds out the real use of the vehicle! mike

I never carried collision on any of my cars... until I got married and lost a 94 MX-6 to my wife's inability to adjust the heat and drive in a straight line at the same time...

After that... full comp and collision on everything... even if they don't give me what my Jeep is worth, it will give me walking around money.

No... I am a believer in some self insurance.

I carry what I have to on the van which still is on loan from the bank. The wifes car which we do own outright has some insurance but nothing like replacement value.

I have PLPD on the XJ. I could spend close to a 1000 a year for more insurance but I don't. I have done this now for 4 years and have a nest egg just to replace it. I can not justify spending like a grand a year to insure a xj when I could by another one for 2500. And the body on the new one would be better than the one that I own.

Why pay an insurance company money to replace your car when you can save that money and only spend if you have to replace it.


Here is an example. New Van bought for 28000 on 5 year loan.

Spend on insurance 2000 a year for insurance for 5 years = $10000 At the end of the loan you just spent $10000 on insurance.....

Did you need to spend it... Maybe if you wrecked your van. Then it is well spent money. But if you did not wreck your van it is not a good gamble and you lost $10000.

I have won this bet and I have lost it.... I see it that once a cars value gets below value that I can safely get my hands on from the savings account, It gets PLPD and I walk away if I wreck it.

I have done that. I cut the insurance on a cavilier that I owned. It saved me 800 a year for the cut in insurance... I totaled it 6 weeks later.... and walked away from it.

It is a gamble and you have to do what you feel comfortable with doing. But do work your numbers carefully. Weigh the savings and make sure that your boss has in writing that you are covered under his policy. If you have an at fault accident you might not be covered under his policy.

You can probably get another one for 3 grand or less. Insurance would probably give you $2500 or less. I'd estimate that if you pay $250 or less a year, maybe it's worth it. Fenders, hoods, doors for XJ's are dirt cheap. And if it was totaled, you could buy another one and have a ton of spare parts.