We’ve been asked by several clients, ‘Can I switch my car insurance to garage insurance (or storage insurance) while I’m away for two months?’
Whether you’re heading out on vacation, taking a work assignment, or enjoying a break from your regular routine, a two-month absence from BC is a good chance to explore ways to save money on your auto insurance. If you will not be driving your car during that time, you may be able to switch to a lower-cost option like car storage insurance or vehicle storage insurance, which can reduce your premiums while you are away. Many drivers only think about insurance coverage while they are actively driving, but a stored vehicle can be insured quite differently.
In this blog, we explore whether switching to a more affordable car insurance policy is a good idea when you’re leaving BC for two months, how the process works, and what options you have through your insurance provider.
Understanding Vehicle Storage Policies in BC in Terms of Auto Insurance
When you’re not using your vehicle, one of the best ways to save on auto insurance is by switching to a Storage Policy. A storage policy is designed for vehicles that will not be driven for an extended period, such as when you are away on vacation or storing a vehicle for the winter. ICBC offers vehicle storage insurance for people who are temporarily off the road, and it comes with useful advantages for your stored vehicle.
What is a Storage Policy?
A Storage Policy is a special type of insurance coverage provided by ICBC for vehicles that will be in parked car status and not used for a while. This is different from a regular insurance policy, which covers you when you are actively driving your car. A storage policy typically provides comprehensive protection for risks like theft, fire, and vandalism while your car is off the road, and you can store it on private property. An insurance company will classify this as a lower-risk period compared to a regular plan that includes collision coverage or liability coverage.
Can You Use a Storage Policy for Just Two Months?
If you’re planning to be away from BC for two months, you may wonder whether switching to car storage insurance or vehicle storage insurance is worthwhile. The answer is generally yes, though it becomes more beneficial the closer you get to three months.
Some drivers compare this with their existing coverage and find the savings worthwhile. For one month, the fees and loss of some accident benefits savings might cancel out the advantage, but at two months, most people see real value.
While three months is often considered the minimum period for some seasonal vehicle policies, two months is still a manageable timeframe to switch to auto insurance alternatives like storage coverage. However, if you’re only gone for one month, the savings may not justify the hassle. The administrative fees, potential cancellation charges, and the loss of benefits like discounts for low mileage could offset the savings for a short one-month period.
In short: for two months, switching to vehicle storage insurance can offer savings, but the longer the absence, the better the deal—ideally closer to three months. For shorter timeframes, like one month, it might not be worth the switch.
How Much Can You Save on Your Insurance Policy With a Storage Switch?
The amount you save will depend on several factors, including your current premium and the type of coverage you have. A storage policy typically costs much less than full coverage, as it doesn’t include collision coverage or coverage for damages caused while driving.
For example, if your regular monthly premium is $200, switching to vehicle storage insurance could save you up to 50 percent or more for the two months, depending on your provider and coverage limits. Your insurance company may also offer prorated refunds for unused auto insurance days, including parts of premiums that cover party liability coverage or other add-ons they will not use while away.
The Pros of Switching to a Storage Policy for a Parked Car or Stored Car
- Significant Savings:
Since you’re not driving your car during the two months, you’ll only need the basic comprehensive coverage. This is much cheaper than a full insurance policy and often more affordable than standard auto insurance. - Retain Your Plates:
Some people worry that they’ll lose their license plates if they cancel their insurance policy for a storage one. Fortunately, you can keep your license plates with a storage policy, so you won’t have to worry about losing your plate number. - Peace of Mind:
Even though your car is not being driven, it is still vulnerable to risks. With vehicle storage insurance, you’ll still have protection from theft, fire, and vandalism while the car is parked.
The Cons of a Storage Policy and What It Means for Your Insurance Coverage
- Limited Coverage:
A storage policy typically only covers certain risks like fire, theft, and vandalism. It won’t cover damage from collisions or accidents while driving. If you plan on driving your car again soon, you’ll need to switch back to full insurance. - Additional Fees:
There are usually administrative fees involved when changing your policy, and there could be a cancellation fee if you’re switching from a regular policy. In addition, if you ever decide to drive your car again, you’ll need to reactivate your full coverage, which could involve additional costs. - Limited Timeframe:
If you’re only going away for a month or less, it might not be worth the hassle to switch policies, especially if you only plan to be gone for a short period.
How to Switch to a Storage Policy Through an Insurance Broker
If you decide that a storage policy is right for you, here’s how to make the switch:
- Contact Your Broker:
The first step is to reach out to an Autoplan broker like King Insurance. They can provide you with an estimate for the storage policy and explain the coverage options available. - Cancel or Adjust Your Current Policy:
You may need to cancel or modify your current insurance plan. Be prepared for any administrative fees associated with making changes to your coverage. - Choose Your Coverage:
When switching to a storage policy, you’ll need to decide what level of coverage you want. You’ll likely want to include comprehensive coverage to protect your car from theft, fire, or vandalism while it’s parked. - Arrange for Refunds:
If you paid your annual premium in full, you may be entitled to a pro-rated refund for the time your car will be off the road. Your broker can help you arrange for this refund. - Ensure Your Car is Properly Stored:
The stored vehicle must be parked on private property such as a private garage or storage facility and not in a location where it could be used by others. Make sure your car is secure and not exposed to risks like flooding or vandalism.
Final Thoughts: Is Short Term or Long Term Storage Worth It?
Switching to a storage policy for two months is often worth the savings, especially if you’re not planning to drive your vehicle during that time. However, if you’re only going to be away for one month, the savings might not be significant enough to justify the hassle of switching your policy. The closer you are to the three-month mark, the more beneficial the switch becomes.
For most drivers, if you’re away for a few months and your car is safely parked on private property, switching to a storage policy can offer significant savings and peace of mind. Reach out to us to get the details about how the policy works for your specific vehicle and situation.
About King Insurance
Located at the northwest corner of Marine Drive and Main Street, King Insurance proudly serves not only the South Vancouver communities of Marpole, Sunset, Oakridge, Victoria–Fraserview, and nearby areas like Marine Gateway and Marine Landing, but also clients across Richmond and the entire Lower Mainland.
Ka Hing Cheung is proud to work in British Columbia’s insurance industry, helping people manage risk and protect what matters most. Ka Hing is committed to ongoing learning and enjoys helping clients find the right policy or right coverage at the best available rate, while making sure they understand their options and the claims process clearly.