Have you ever had your car impounded? It’s an annoying, stressful, and sometimes expensive experience. You might be asking yourself, “Can I get my insurance to cover those fees?”
It’s a question that many car owners face, especially if they’ve found themselves in a situation where their car is towed unexpectedly.
But before you reach for the phone to call your insurance company, there are a few things you need to know.
In this blog post, we’ll break down everything you need to understand about impound fees and whether or not your insurance will cover them.
Whether you’ve been in this situation before or just want to be prepared, you’ll find all the details you need to know right here.
From understanding impound fees to what your insurance policy covers, we’ll walk you through it step by step.
Before diving into whether insurance covers these fees, let’s first understand what impound fees are and when they might be charged.
What are Impound Fees?
Impound fees are the charges associated with the removal and storage of your vehicle by a government agency, such as a tow truck service.
When your car is parked illegally or if it is involved in an accident, the authorities may tow it to an impound lot. The fees can vary based on location, the reason for towing, and how long the vehicle stays in storage.
Why Do Cars Get Impounded?
There are several common reasons cars are impounded:
- Illegal Parking: If your car is parked in a no-parking zone or in violation of local ordinances, it could be towed.
- Unpaid Parking Tickets: Accumulating too many unpaid parking tickets can result in your vehicle being towed.
- No Insurance or Registration: If your car is being driven without proper insurance or registration, it might be impounded.
- Accidents and Crime: If you’re involved in an accident, or if your vehicle is deemed a hazard, it may be towed and impounded for safety or legal reasons.
How Much Do Impound Fees Cost?
Impound fees can range anywhere from $100 to several hundred dollars, depending on where you live, the type of vehicle, and how long it’s stored.
These costs can add up quickly, and the longer your car is in the impound lot, the more you’ll have to pay. If you’re not able to retrieve your vehicle in a timely manner, the fees might increase every day.
Does Insurance Cover Impound Fees?
Now, the big question: Will your insurance cover impound fees?
The short answer is that insurance typically does not cover impound fees. However, it’s important to dive into the details of your specific policy to understand why.
Why Insurance Usually Doesn’t Cover Impound Fees
Most standard car insurance policies do not include coverage for impound fees because these fees are not related to damage to your vehicle or an accident. Insurance policies generally cover things like:
- Collision damage – if you’re in an accident.
- Comprehensive coverage – if your car is damaged due to theft, vandalism, or weather-related incidents.
- Towing – if your vehicle breaks down or is involved in an accident.
Impound fees, on the other hand, are more of a consequence of your actions or violations, like parking illegally or having expired registration. Insurance is designed to cover unexpected damage or losses, not fines or legal penalties.
When Might Your Insurance Help?
There are some scenarios where your insurance might indirectly help with the cost of impound fees:
- Towing after an accident: If your car is involved in an accident and needs to be towed to a repair shop, your insurance might cover the cost of the tow. However, this only applies if the towing is a result of the accident, not for parking violations.
- Storage fees after an accident: If your vehicle is being held in storage after an accident or theft, some insurance policies may cover the storage costs, but only if the coverage is part of your comprehensive or collision insurance.
How to Avoid Impound Fees
If you want to steer clear of impound fees altogether, there are several ways to protect yourself and your vehicle.
1. Always Park Legally
The easiest way to avoid impound fees is by parking in designated areas and following the rules. Make sure you park in legal spots and pay any necessary parking meters.
2. Keep Your Vehicle Updated
Ensure that your car’s registration and insurance are up-to-date. If your car is towed because of expired registration, you could be facing hefty fees that could have easily been avoided.
3. Be Mindful of Your Car’s Condition
If your car is in a dangerous or unregistered condition, it might be impounded for safety reasons. Regular maintenance can help prevent your vehicle from being flagged by authorities.
4. Be Aware of Local Laws
Different places have different parking regulations. It’s important to be aware of any local ordinances, especially if you’re parking somewhere unfamiliar.
Common Mistakes to Avoid
Many people make mistakes that lead to impound fees. Here are some of the most common ones:
1. Ignoring Parking Signs
It’s easy to assume that you’re safe to park anywhere, but failing to read parking signs carefully can result in a tow. Always double-check the rules before leaving your vehicle.
2. Letting Your Registration Expire
Failing to keep your registration up-to-date might not seem like a big deal, but it can lead to impoundment. Set a reminder to renew your registration on time to avoid this costly mistake.
3. Leaving a Car in a Hazardous Area
If your vehicle is blocking a driveway, a fire hydrant, or any other hazardous area, it’s more likely to be towed. Avoid parking in such spots, even if it’s just for a few minutes.
4. Driving Without Insurance
If you’re caught driving without insurance, your car might be impounded on the spot. This can also lead to heavy fines and the possibility of your car being sold at auction.
Conclusion:
Impound fees are an unfortunate reality for many car owners. While they can be costly, understanding the role of your insurance can help you avoid any confusion when you’re faced with them.
In most cases, insurance doesn’t cover impound fees because these charges aren’t related to damage or loss.
However, insurance can help with towing and storage costs if they are related to an accident or covered incident.
To avoid the hassle of impound fees, always park legally, keep your vehicle’s registration and insurance updated, and be mindful of local regulations.
By taking a few simple precautions, you can save yourself the stress and financial burden of impound fees.
Remember, if you have any more questions about insurance or impound fees, feel free to comment below! And if you found this post helpful, don’t forget to share it with your friends and family.
FAQs:
Q1: Can I get my impound fees reimbursed by insurance if my car was stolen?
If your car is stolen and later recovered, insurance might cover the storage fees. However, impound fees themselves are unlikely to be reimbursed.
Q2: Can my insurance cover a tow if my car is impounded for illegal parking?
Insurance typically won’t cover impound fees for parking violations. However, if your car needs to be towed due to a breakdown or accident, your insurance might cover the towing costs.
Q3: Can I avoid paying impound fees by contesting the tow?
In some cases, you may be able to contest the tow if it was done improperly. Check with local authorities to understand your rights and the procedures for contesting a tow.
