With the various bottlenecks creating supply problems for everything from food … to chips (computer and potato), to all sorts of accessories … and parts in general, at times it’s left many feeling helpless.
From an actual experience from you guys in the field, hat tip BB ….. a fantastic money saving idea to possibly help counter some of the delays was discovered!
A second hat tip to LL for confirming that due to the aforementioned supply chain issues repairs … specifically auto repairs are of extreme delay …. and the respective insurance carriers are stuck trying to be mediator for everything !
Deem that terribly delayed automobile repair inoperable
This is not of course carte blanche for everyone to go shut off their automobile insurance, but with one teenager aboard our family policy and another one coming on in the next few months, every savings … especially as it relates to automobile insurance is helpful!
Check your policy and be sure to read the fine print on this before making any actions.
You also want to check the coverage of the location of your automobile to confirm with their policies cover.
This is also likely a technique that you would want to use for months of inoperability not just days or weeks.
OK now that we have the foundation covered from above here’s the sizzle:
Check your policy to see if you have an inoperable clause or similar on it.
It may be possible to earn significant savings on your automobile policy by using this clause, again if the aforementioned items have been met and are safely confirmed.
Yes, at times it’s very difficult to know just how long the repair may take. We have continued stories of lengthy parts delays and even family members that have autos with lengthy stays due to lack of workers to complete repairs, but if you meet the above it MIGHT be worth a review.
One more time, make sure you have the T’s crossed and the I’s dotted before doing this technique. It would be very penny wise and pound foolish if one were to turn the inoperable clause on and then have significant damages to the vehicle and it not be covered.
If you’re so lucky as to not have expensive automobile insurance, it’s likely that this is not worth the trouble!
Oh… one last item, you may also have what is called a Diminished Value claim if you were in an accident (not just delayed repairs) … we are not experts on this and would recommend speaking to your agent or utilizing Google to find out if this may be of help!
Have a great possible money savings day!
John A. Kvale CFA, CFP
Founder of J.K. Financial, Inc.
A Dallas Texas based fee only
Financial Planning Total Wealth