Question

What would happen if your car were stolen and you didn't have auto insurance?

Without auto insurance, you are dismissing a chance of insurance payout for the replacement of your stolen car. You will have to buy a new car out of your own pocket.

If your car is stolen, make sure you report it within two hours to the police and inform your lender and DMV within 24 hours.  

Comprehensive coverage is what you need to avoid a financial emergency if your car is stolen. If you do not have auto insurance, then you will not receive any reimbursement for the loss that you have incurred. Depending on your car’s value and the loan balance, your expenses can vary.  

It is advisable to take full coverage if your car is leased or financed. Make sure it includes comprehensive coverage to offer protection against theft. However, if your coverage is less than what you owe on your loan, then you’ll have to manage the payment on your own. But if you have GAP insurance, then the payment will be covered if your car is stolen.  

Here is the coverage that will protect you from auto theft.  

• Comprehensive coverage 
• GAP insurance  
• Rental reimbursement 

While none of these are mandated by law, only these can offer final protection against theft and related transportation costs. Similarly, installing anti-theft devices will result in discounts or lower your car insurance costs.