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Protect Yourself from Auto Insurance Exclusions

What are exclusions?

Exclusions are what your auto insurance does not cover. Often you will be surprised by which people and incidents are not actually covered by your auto insurance policy. If a specific person or incident is mentioned as an exclusion in your policy, your vehicle will not be covered while that person is driving or if that specified incident should happen.


Excluded People

If there is a member of your household with a particularly awful driving record, you may have to name them as an exclusion or else pay a whole lot more for auto insurance.


If that person drives the car, your auto insurance policy is considered null and void. That person and your vehicle are completely uncovered by your auto insurance.


Specific incidents in a person's history that might merit an exclusion are:


• Driving while under the influence of alcohol or drugs (DUI/DWI)


• A horrible driving record


• Many serious traffic violations


• Untouchable credit


Excluded Incidents

A lot of common exclusions are natural disasters. People in California often exclude earthquakes from their policies to save money. In some places, nuclear fallout seems a reasonable exclusion.


Another common one is damage to a vehicle that is knowing or deliberate. If you are aware that the vehicle should have something fixed even and this leads to a collision or some sort of damage that is otherwise covered, you would not be able to get that repaired. This exception often saves a lot of money!


Excluded Vehicles

If you have a job that requires you to drive a company vehicle, you may have to write an exclusion for that vehicle or scenario out of your own personal auto insurance policy.


Most likely, the company will have auto insurance for that vehicle anyhow.


If you have to use your own vehicle, you might have to write an exclusion for those times that you are using it for company business. Say, if you are a pizza delivery person or if you have a paper delivery route.


Excluded Personal Items

If you regularly carry expensive items, such as a computer or some sort of special equipment, you can save money on your auto insurance premiums by excepting it from the policy.


Why Policies Have Exclusions

Most auto insurance policies have exclusions because they keep the premiums low. Exclusions might actually remove the highest risks from your auto insurance provider, meaning they can afford to charge you less for coverage.