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Any auto insurance companies allow vacation holds on policy?

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  • Dec 22nd, 2015 11:22 am
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[OP]
Deal Addict
Jun 18, 2008
1285 posts
72 upvotes

Any auto insurance companies allow vacation holds on policy?

Hi folks,

Recently I called State Farm to put a vacation hold on my auto insurance policy and was informed that since they were bought by Desjardins, they no longer put policies on vacation holds that are less than 2 months. This is upsetting considering I travel quite a bit and used to enjoy the convenience of putting State Farm policy on hold anytime I wanted.

It seems unfair to me that I'd have to pay expensive auto insurance when I'm not using my car for say, 6 weeks. The agent informed me that most companies don't allow holds anymore. Can anyone tell me their experience with other companies and If they know of any insurance companies that allow vacation holds with no minimum?

Thanks!
9 replies
Newbie
Nov 16, 2010
43 posts
6 upvotes
I'm not sure about the vacation hold but an FYI would be that even if you're not using your car they expect it to be insured since it can spontaneously ignite (electrical issue perhaps) and cause damage to other property. This might be in-line with not offering this type of service.
Deal Fanatic
Jul 4, 2004
8266 posts
1214 upvotes
I can understand why they don't do holds anymore. People forget to reinstate when they return, the vehicle is still used by others during the hold, etc. It maybe a cost savings for some, but the risk and administrative work for the insurance company is still present for them. Personally, I'd rather have lower overall insurance rates than the frills. Chances are if you're looking for an insurance company who will still do this, you'll probably be paying more in the end.
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Deal Addict
User avatar
Dec 16, 2007
3907 posts
1019 upvotes
Toronto
I can understand why they don't do this for a period of less than 2 months.
[OP]
Deal Addict
Jun 18, 2008
1285 posts
72 upvotes
I don't see why they wouldn't offer this. Am I expected to pay for the obscene insurance rates we have in Canada just to keep my car parked in the driveway?

Sure you could argue all sorts of things, but in the end they've done this to gauge more money. With State Farm I used to be able to do this, for years, until now. No one ever used the car while not insured, or caused any other type of trouble. I don't mind paying a bit more because I know it will likely be offset by any credits from vacation holds throughout the year.
Deal Addict
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Oct 13, 2007
2795 posts
1363 upvotes
Edmonton
I am not sure what constitutes a "vacation hold" as this is not an insurance term but if you are talking about removing all coverage while the vehicle is not in use, this is not a wise move and any insurance company would still want you to maintain "comprehensive" or "specified perils" cover unless you are insuring a beater. The fact that you say your car will be in the "driveway" does not make it low risk. Trust me, as an adjuster, I have seen it all and what you think might never happen does, in fact, happen every day. Here's a quick scenario for you. Your vehicle is in the driveway uninsured while you are traveling. Someone steals your vehicle so you think you are not responsible but if that stolen vehicle is involved in an accident causing serious injury to a third party and you get sued, you will not have any coverage for your legal defence. You also want the comprehensive or specified perils coverage in the event of a theft. Is your vehicle a beater? If not, there is always a possibility that a vehicle can somehow collide with yours (it happens) and then you would be responsible for your own damages if the third party is unidentified (hit & run). Being outside. rather than in a garage, your vehicle is also exposed to the elements and possible vandalism. These are just a couple of examples but if you seriously don't want insurance on your vehicle, you can, for sure, just delete the collision cover and even comprehensive or specified perils if your company will not remove the liability. This will save you money in the short term. These latter coverages are not mandatory and therefore, at the customer's (your) discretion.
Deal Guru
User avatar
Aug 20, 2005
10453 posts
2024 upvotes
Nowhere
You are not using your house while you are away so do you expect to put your home insurance on hold too. Like your car, what could ever happen when you are not there. I would never even have thought such a thing would exist.
Deal Expert
Aug 2, 2001
16207 posts
6365 upvotes
For Meloche it's 40 or 45 days as their minimum for suspending your policy.
Deal Addict
User avatar
Oct 13, 2007
2795 posts
1363 upvotes
Edmonton
TrevorK wrote: For Meloche it's 40 or 45 days as their minimum for suspending your policy.
Unfortunately, Meloche is a mere shadow of its former self, the acquisition by TD putting the nail in the coffin.
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User avatar
Nov 28, 2007
2859 posts
781 upvotes
Whitehorse, YT
yourmemory wrote: Hi folks,

Recently I called State Farm to put a vacation hold on my auto insurance policy and was informed that since they were bought by Desjardins, they no longer put policies on vacation holds that are less than 2 months. This is upsetting considering I travel quite a bit and used to enjoy the convenience of putting State Farm policy on hold anytime I wanted.

It seems unfair to me that I'd have to pay expensive auto insurance when I'm not using my car for say, 6 weeks. The agent informed me that most companies don't allow holds anymore. Can anyone tell me their experience with other companies and If they know of any insurance companies that allow vacation holds with no minimum?

Thanks!
The Personal have a self-serve option to Store a Vehicle. You enter the start and end dates, pick a reason for storage (season, for sale, repair, other), and location where it will be stored (private garage, public garage, driveway, street).

I believe they leave Comprehensive coverage on, automatically reinstate coverage etc. Never used it so I don't know how they calculate the credit.

I do know that if you insure 3 vehicles you can only drive one at a time but still pay full insurance minus about 10% on vehicles 2 and 3. Now that's unfair!

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