AUTO INSURANCE ARTICLE

What Is Towing and Labor Auto Insurance

By: coppeneur

Some car accidents only cause moderate damage to the car. But even with moderate damage, some cars need to be carried out from the scene to an auto repair shop of the driver’s choice. The cost of such towing would ordinarily be shouldered by the driver, unless he or she has an arranged towing and labor auto insurance. In which case, his or her auto insurance company would pay for towing and any associated labor.

Towing and labor auto insurance covers the full cost of towing should the driver’s car become stranded in an auto accident or other situation; and other incidental costs associated with a stranded vehicle including keys locked in car, tire changes and emergency fuel delivery if you find yourself falling short of gas in the middle of nowhere.

This type of insurance coverage is often an optional offering in your standard auto insurance policy. If a driver has herself covered with towing and labor auto insurance, the driver can call for help from her carrier, when her car gets stranded. After informing the insurance company of the situation and the location of the incident, help from the insurance company arrives between one-half hour to 45 minutes.

What does being stranded means? It could be described as any of the following: car stuck in mud, snow, or water; keys locked in the car; car broke down on the highway (mechanical failure); car damaged in an auto accident and cannot be driven away from the scene; car ran out of gas; flat tire; or dead car battery.

The number of times that you can claim for the towing and labor service varies by auto insurance company. But it is typically limited to two claims per policy year.

Is it worth it then to avail yourself of this optional insurance coverage, given that you can redeem it for a limited time only? We say yes. For locked keys in your car, it can easily be prevented by having a spare key. But what about the other incidents described above?

Engaging the services of towing companies is actually expensive. Not only do they charge for labor, they also charge per mile from the scene of the accident to the driver’s auto repair shop of choice. It would be no surprising for a towing service company to charge you at least $100 or more, especially when additional labor is involved.

Besides, if you have a well-maintained car, the chances of it being stranded would be minimal. Thus, the exceptional times that you are stranded, could be less of a horrible and expensive experience if you are covered with towing and labor auto insurance. This is an added financial protection that the driver will most certainly be able to use at least a few times while the auto insurance policy is in force.

Those with new cars may already be covered for roadside assistance under an additional extended warranty. In this case, the policyholder can choose to forego towing and labor insurance coverage. But unless this applies to you, it is advisable for everyone carry this helpful auto insurance coverage.