Travelers Says Winter Lifts Car Claim Costs: 5 Coverage Checks Before Snow Arrives

Sliding off the road or losing a branch to a storm can fall under different parts of an auto policy — and one of those protections may be missing from yours.

The final months of the year tend to follow a familiar pattern for one of the country’s largest insurers. Michael Klein, who oversees personal insurance at Travelers, told analysts that the company’s fourth-quarter auto underlying loss ratio has historically run about 5 to 6 points higher than its average for the first three quarters.

He said the increase is tied to winter weather and holiday travel.

When roads ice over and families hit the highway, claims rise. Federal data averaged over several recent years show that about 12% of crashes, or nearly 745,000 annually, are weather-related. About 220,000 of those involve snow, sleet or other freezing precipitation.

Your declarations page, usually found near the front of the policy, can answer most of the questions below in just a few minutes.

1. Confirm that you still have collision coverage

If your car slides on ice into a guardrail, ditch or another vehicle, that is typically a collision claim. Without collision coverage, damage to your own car is not covered, according to Oregon’s insurance regulator.

Some drivers drop collision once a car is paid off or becomes older. That can make sense for a low-value vehicle. Before making that choice, compare the yearly premium with what you could realistically afford to spend repairing or replacing the car after a winter mishap.

While reviewing that page, also check whether the premium still matches how you drive. Insurers may rate a policy differently for someone who drives fewer miles in retirement than for a daily commuter.

2. Understand what comprehensive insurance pays for

Comprehensive covers losses that are not caused by a collision. Idaho’s Department of Insurance lists weather, fire, animal strikes, vandalism and theft among the examples, and Oregon’s regulator says it also covers a tree falling onto a vehicle.

That matters when snow and ice bring down branches onto a car parked in the driveway. Comprehensive has its own deductible, which may differ from the collision deductible, so it is worth checking both figures.

3. Choose a deductible you can pay in cash

Raising a deductible from $500 to $1,000 can reduce your premium. The trade-off comes when you file a claim: you must pay that amount before the insurer covers the rest of the repair bill.

Before increasing it, make sure the money is set aside somewhere you can access quickly and where it can still earn something while it sits. A separate savings account reserved for the deductible can keep it from being spent on holiday gifts.

SoFi offers a combined checking and savings account with no account fees. With eligible direct deposit or $5,000 or more in qualifying deposits every 31 days, members can earn 3.30% APY on savings plus 0.50% APY on checking.

New members may also qualify for a limited-time APY boost that raises savings to as much as 4.40% APY for up to six months. APYs are variable and can change at any time.

4. Check roadside assistance and rental reimbursement before winter trips

Klein’s reference to holiday driving is a reminder that winter breakdowns often happen far from home. Roadside assistance, sometimes called towing and labor coverage, generally pays for a tow or similar help, though limits vary by insurer.

Rental reimbursement usually helps pay for a substitute vehicle while a covered repair is underway. It generally does not cover fuel, and you may owe the difference if you choose a more expensive rental. Standard auto insurance does not include it automatically.

Before adding either benefit, see whether you already have roadside help through an auto club membership, a newer car warranty or a credit card perk. Paying twice for the same tow does not save money.

5. Review uninsured motorist protection

The Insurance Research Council estimates that 15.4% of drivers were uninsured in 2023. In Mississippi, the rate was 28.2%.

If one of those drivers slides into you on a slick road, uninsured motorist coverage can help if you or a passenger is injured or your vehicle is damaged. Requirements and limits vary by state, and your declarations page shows whether you have this coverage and how much of it you carry.

Auto pricing may be working in your favor

Adding coverage may not mean a dramatically larger bill. At Travelers, renewal premiums in the auto book were slightly lower than a year earlier in the third quarter, and Klein said the company made about 10 auto rate cuts during the period.

That makes late fall a good time to price the coverage you want, not just the coverage you already have. Comparing bundled and separate policies side by side can help you see where you stand. Once you settle on limits and deductibles, Insurify lets you compare real-time quotes side by side at no cost.