Does Car Insurance Cover Lost Keys or Stolen Keys? Detailed Guide

By Randy Luton | Last Updated: 02/01/2023

It may cost a lot of money to lose your keys. Having a car that you cannot use because you have lost your keys or someone purposefully took them may be incredibly annoying.

The best option is to purchase a new set of keys, but once you start looking for locksmith services or car dealerships, you’ll find that the price for an ignition key or door key is much greater than you would have anticipated.

Some modern car models come with keys that might cost up to $500 merely to replace, which might sound exaggerated.

Fortunately, there are strategies to prevent having to pay the bill out of your own pocket. If you have the appropriate insurance, it’s possible that the benefit will cover lost or stolen keys. This blog will answer all your queries like are lost keys covered by car insurance, does car insurance pay for lost keys and many more.

What type of insurance covers stolen or lost keys?

Replacement costs for lost car keys are covered under personal property coverage under your homeowner’s or renters’ insurance. Your deductible, which is presumably greater than the price of a new key, will have to be paid, nevertheless.

To find out if their house insurance covers lost or stolen keys in a time span, It is advised to contact the insurer directly.

If we talk about general insurance terms, this coverage does not extend to automobile keys. “American Family’s house insurance covers dwelling keys and garage door openers without charging a deductible.”

Does misplaced keys fall under roadside assistance? Yes but rarely. If you get locked out of your car, roadside assistance will help, but it won’t pay to provide you with new keys.

What is covered in car key replacement insurance?

The Comprehensive insurance coverage has an add-on called Car Key Cover or Key Replacement Cover.

Suppose the key to the covered automobile is any of the following. In that case, the insurance company will reimburse the owner up to the insured sum stated in the insurance policy for the purpose of replacing the key:

  • Lost
  • Stolen
  • Damaged
  • If the lockset or the key is damaged, the lockset must be repaired.
  • Key replacement is only necessary if the key is broken or damaged.
  • The key, lock, and lockset will all be replaced in a burglary scenario.

Is there a deductible for lost car key insurance claims?

If your insurance coverage includes a deductible, you will have to pay it before receiving a refund from your insurance. You will receive $9,500 if your car’s real cash worth is $10,000 and your deductible is $500. When you replace your automobile, you’ll be responsible for paying that $500 yourself.

How much damage is covered if my car is stolen with keys inside?

If my automobile is stolen, will my insurance provider cover the entire worth of the vehicle? What if I did anything to cause the theft, such as leaving the keys inside?

Regardless of whether you left the keys inside the car, if you have comprehensive insurance, your insurance will cover the cost of a stolen vehicle. The deductible and insurance limit both affect how much it pays.

The definition of an insurance limit is accurate: It is the maximum amount that the business will cover.

Let’s try to understand this with an example:

  • The most fundamental form of auto insurance, liability plans often have high coverage of $10,000, $25,000, or $50,000. However, the real cash worth of your vehicle is always the case with comprehensive insurance covering natural calamities.
  • Your car’s purchase price isn’t its actual cash value. Depreciation, often known as the amount of value your automobile loses each year as a result of aging and wear and tear, is the replacement cost less depreciation. Because automobiles lose value quickly, the limit might drop dramatically for older vehicles.
  • Over the coverage limit, your insurance will not pay out anything. In the event that your automobile is stolen, you will be compensated with the exact monetary worth so that you may go buy a new one.
  • Furthermore, if your insurance coverage includes a deductible, you will have to pay it before receiving a refund from your insurance. You will receive $9,500 if your car’s real cash worth is $10,000 and your deductible is $500.

Does car insurance cover stolen keys if they are left in it?

With the idea that you’ll be back shortly, you dash into the store. You put your keys in the cupholder of your car or under your visor since carrying them around might be cumbersome.

However, your automobile is gone when you return. It will be inconvenient in any case. Even if they are aware that you shouldn’t leave your keys in your car, would your insurance company still pay for it?

Whether or not the keys were left inside the car, the theft may be covered by insurance if you have comprehensive coverage (sometimes known as “other than collision” coverage).

Consult your agent if you’re unsure if your policy covers the circumstance or whether you have comprehensive insurance (often known as “other than collision” insurance).

How do I know if my insurance will cover a stolen car?

In my area, there have been a few auto thefts. I want to be certain that my automobile is protected. How can I tell whether it’s protected?

You must be aware of the three basic forms of auto insurance coverage in order to comprehend the response to this query. Each one addresses various circumstances.

  • Liability insurance: It pays for harm you do to other people, their property, or their cars.
  • Collision insurance: It pays for harm that you sustain from collisions with other vehicles. Covers harm caused by collisions with inanimate items as well, such as mailboxes.
  • Comprehensive Coverage: Also referred to as “other-than-collision,” it provides coverage for a wide range of occurrences, including theft.
    • It should be rather evident what sort of insurance you have if you examine your auto insurance policy online or in your print package.
    • Breathe easily if you have comprehensive covering! Even if you leave the keys inside and the car is taken, you are still insured.
    • Working with an independent insurance agent to add comprehensive coverage is simple if you don’t already have it.

Should I file an insurance claim for stolen car keys?

Generally not. If your keys are stolen or misplaced, having car insurance with roadside assistance coverage can ease your situation, but you will often be responsible for paying for new keys. If you have comprehensive insurance, which covers a stolen automobile and its keys, that is the only exemption.

How to file an insurance claim for stolen keys?

  1. Notify the insurance company.
  2. To register a police complaint in the event of theft, the claim must be made.
  3. Your automobile keys can be made new or repaired.
  4. Send the claim form and the necessary paperwork.
  5. In the event of a cashless claim, the insurance company settles the claim directly with the garage.

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Editorial Guidelines: The above is meant as general information to help you understand the different aspects of auto insurance. This information does not refer to any specific auto insurance policy. Coverages and other features vary between insurers, vary by state, and are not available in all states. References to costs of coverages/repair, average or typical premiums, amounts of losses, deductibles, etc., are indicative and may not apply to your situation. We encourage you to speak to our insurance representative and to read your policy contract to fully understand your coverages.

Randy Luton is the Founder and CEO of RateForce. He is passionate about InsurTech services and has in-depth knowledge about the auto insurance sector of the USA.