Insurance

[Shadowbomb]

Does anybody have any general guidelines as to when it is no longer advisable to be paying for collision and comprehensive insurance on an older Tacoma? Gotta have liability, but what is the point of diminishing returns on the expensive part of insurance? Thanks!

 

[kennythewelder]

If your truck is paid for, you can drop your collision, but you will be responsible for your own repairs should there be an accident. So it comes down to this, at what point are you willing to repair your truck your self, or fork out for repairs out of your own pocket should you be in an accident ? You could always start a small savings account, and put in the extra money you are paying for collision until you have a decent nest egg saved up in case you have an accident. When you have say 4 thousand or so put away. If the truck is totaled in a wreck, you would have a down payment for a new one anyway, and if you have a fender bender, that should cover it or at least part of it.

 

[tbplus10]

On my 99 Tacoma I kept collision coverage until the truck was about 10yrs old, resale value was still around $8k and the collision premium was about $350 a year, to me it was protecting my investment.
My present truck is 5 yrs old and paid off a few yrs ago so I'm keeping an eye on the resale value, when it gets to a level I'm comfortable with I'll drop the collision.
Don't know of any guidelines its more a personal decision.
Can you afford to replace the vehicle if its wrecked or is the collision premium easier to cover.

 

[tibadoe]

Here is some more info to read up on: Do I need comprehensive and collision insurance?

 

[Shadowbomb]

That's all good advice - thanks! I certainly recommend to everyone the site tibadoe offers above - insurance outfits are like mechanics: you hope they are honest and professional, but you are pretty much at their mercy unless you are an insurance agent or mechanic yourself. A site like that is good ammo.