Is it necessary to purchase collision insurance for an 8-year-old used car?
2 Answers
Yes, it is necessary. Used cars generally require collision insurance. Collision insurance refers to a type of commercial auto insurance where the insurance company compensates within a reasonable range for damages to the insured vehicle caused by an accident while the insured or an authorized driver is operating it. If you cannot purchase it, there are two possible reasons: 1. The age of the transferred vehicle: If the vehicle is around 8 to 10 years old, there might be cases where collision insurance cannot be purchased. 2. The original owner's collision insurance has not expired: If the vehicle already has collision insurance before the transfer and it has not expired, you cannot purchase it again. In this case, you just need to have the original owner transfer the insurance to you.
As a driver who's been behind the wheel of an old car for over a decade, I think this really depends on your budget and local road conditions. When my old Camry was in its eighth year, the insurance agent did the math for me: the collision insurance premium was over two thousand, but the car dealers only offered just over thirty thousand for it. Later, when an electric scooter scraped the door, I paid eight hundred out of pocket for repairs, which was much cheaper than the premium. However, if you live in a typhoon or hail-prone area, or usually drive on routes frequented by heavy trucks like those near building material markets, I'd recommend getting the coverage. After all, the sheet metal on old cars is thin, and even a small dent can be costly to fix. New drivers are also advised to buy it—it can really help minimize losses if something happens.
