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Many people think that a car that is rarely used does not need to be insured. In fact, cars that sit unused are still at risk of serious damage, loss, or disasters. This article explains the important reasons why insurance is still needed even though cars are rarely used.
A private car is an asset, and like any other asset, it still needs protection even if it’s not used every day. Many vehicle owners think, “After all, the car is only used occasionally. Why bother paying for insurance?”But in fact, a car that is rarely used actually has its own type of risk that is often ignored.
Do not be fooled by the assumption that a car that is not driven is automatically safe. In fact, a car that is rarely used still has the potential to experience:
Garage fire due to shorting
Damage due to flooding during the rainy season
Vehicle theft or accessory
Damage due to fallen trees or collapsed buildings
Rust, electrical dead, and battery soak due to not routinely turned on
The risk of being able to come at any time - even in a car that is rarely used is vulnerable to damage due to disasters or theft.
So, how is the risk pattern of a rarely used car different from a daily car? And why is protection still essential? We'll discuss this in the next section.
Many car owners assume that vehicles that are rarely used will last longer because they are not exposed to traffic risks. However, the reality is different.
Cars that are not used for too long are at risk of damage from the inside and are prone to loss when not supervised.
Type of Risk |
Active Car (Daily) |
Rarely Used Cars |
|---|---|---|
Collision |
Tall |
Low |
Vehicle theft |
Currently |
Tall |
Aki Soak or damaged |
Low (often used) |
Tall |
Tire damage (flat spot) |
Low |
Tall |
Fire due to electricity |
Low |
Tall |
The risk of flooding in the garage |
Equally high if not insured |
|
The car is silent does not mean risk free, there are actually many risks when the vehicle is not monitored or not monitored by the engine condition.
If there is a large damage or loss, the costs you need to spend are far more expensive than the annual insurance premium.
Example:
Replace the damaged battery and the electricity burned: Can reach IDR 2–3 million
The car is missing when parked at home: Losses can reach tens to hundreds of millions
Damage due to floods: Repairs can cost tens of millions of IDR
While the insurance premium from Oona:
TLO Insurance: Starting from IDR 400,000 per year
All risk insurance: Starting from IDR 1,500,000 per year
Then, where is the ideal type of insurance?
The answer depends on the value of the vehicle and the risk of the parking lot.
Type of insurance |
Suitable for |
Superiority |
|---|---|---|
TLO (Total Loss Only) |
Old car, parking in a safe place |
Cheap premiums, protect totally loss |
All risk (comprehensive) |
New or expensive car |
Protect small and large damage, the risk of flooding, etc. (with expansion) |
Tips: If your car is still new, expensive, or parked in flood -prone areas and theft, you should use all risk insurance with expansion.
Next we will discuss more deeply: Will insurance claims still apply if the car is rarely used? And what are the conditions for protection to remain active?
Yes, car insurance can still be claimed even though vehicles are rarely used - as long as the policy is active and the conditions are met.
However, it is important to understand that:
Insurance will not pay claims if the policy is not extended or the premium is not paid on time.
Claims can also be rejected if the vehicle is damaged due to negligence of the owner, such as not caring for vehicles for a long time.
So that protection remains optimal even though cars are rarely used, consider the following things:
Pay premium on time
Do not delay the annual or monthly premium payment so that the policy does not lapse.
Extend the policy before maturity
Policies that are not extended automatically make you lose protection.
Save the vehicle in a safe location
Parking in a private garage or a place that has supervision to minimize the risk of theft.
Perform a minor examination regularly
Turn on the engine once a week, check the tire pressure and battery conditions.
Document the condition of the vehicle
Photos of your vehicle regularly to facilitate the claim process if needed.
Imagine you have a second used car that is rarely used, just coming out on weekends. One day, you find a garage of a house burglarized and a missing car. Without insurance, you lose the overall car value.
However, if you have active TLO insurance, you can submit a claim and get a replacement according to the current car market value.
Finally, we will conclude why having insurance remains a smart decision even though the car is only used occasionally, and answer all common questions that often arise.
Even though your car is rarely used, it's not a reason to release protection. Precisely because it is more often silent, the vehicle becomes more vulnerable to environmental damage, negligence of maintenance, to the risk of theft.
Car insurance provides a safety net of large losses that can appear at any time. Compared to the cost of repairing or losing a total car, the annual premium you pay is very small.
The risk of being able to come at any time - even a car that is rarely used is vulnerable to damage caused by disasters or theft.
If you don’t have car insurance yet, or want to reevaluate your current policy, Oona Car Insurance offers flexible coverage that can be tailored to your vehicle’s usage conditions.
