How to Claim Compensation for a Flooded Vehicle with Vehicle and Vessel Tax?
3 Answers
Vehicle and vessel tax is levied by the state, but it is collected by insurance companies on behalf of the government. If your vehicle is flooded and you need compensation, you must have purchased water damage insurance. If the repair costs exceed 80% of the vehicle's actual value, the insurance company will treat it as a total loss and compensate based on the vehicle damage insurance premium. First, you should take the vehicle to a 4S shop for inspection and repairs, especially for the engine and electronic systems inside the car. Any damages found can be claimed for compensation.
If your car is flooded, compensation depends on insurance, not the vehicle and vessel tax. The vehicle and vessel tax is an annual fee—once paid, it's gone, but insurance can cover the losses. Here's how I handled a similar situation: First, ensure safety by moving the car to higher ground, then take photos of the damage and water level. Contact your insurance company to file a claim and check if your policy includes flood coverage. If it does, they'll send an assessor to inspect the car and determine the loss. My neighbor’s car was flooded during a storm, and because they had comprehensive coverage, all repair costs were covered. Without flood coverage, you might only get partial compensation or have to pay out of pocket. When towing, hire a professional to avoid further damage. Afterward, check the engine wiring to prevent short circuits. Don’t delay—the sooner a flooded car is repaired, the fewer future problems you’ll face. Regular maintenance is also key, like parking in higher spots.
Here’s my experience with compensation after my car was flooded: Insurance is key. The vehicle and vessel tax is just a tax—it doesn’t cover anything. Last year, my car got waterlogged during a heavy rainstorm. I panicked but stayed calm, took photos as evidence, and contacted my insurance company’s customer service. They advised me not to move the car and wait for the surveyor. The claims process went smoothly because I had additional water damage coverage, which compensated for repair costs and some electrical damage. Those without extra coverage might have to pay out of pocket. I also consulted a mechanic, who said flood-damaged cars need thorough cleaning and drying to prevent circuit corrosion. I recommend all car owners understand their policy terms, conduct regular checks, and avoid parking in flood-prone areas. The entire process took about two weeks, and I learned a lot.
