With the current public health crisis, many individuals are following CDC and governmental guidelines to stay home. Unless you’re an essential worker, it’s likely that you’re working from your own residence right now. It’s also possible you’re one of the millions of Americans who has been furloughed or lost their job in the wake of recent economic challenges.

All these changes mean one thing for car owners: Vehicle are mostly staying parked these days.

Should I cancel my insurance to make more room in my budget?

It may be tempting to think about canceling or suspending your car insurance policy, especially if you are undergoing financial hardship. However, this is not a good idea.

Here’s why:

  • Someone in your family likely still needs the car to visit the grocery store or, potentially, the drugstore for medicine.
  • If you get into an accident without insurance, it’s not only your car you have to repair. Think about property damage and medical bills of anyone injured. Also, driving without insurance can mean jail time or fines.
  • Even if your car is just sitting in the driveway, you shouldn’t forfeit your protection from theft or damage incurred while parked.
  • You may qualify for other financial relief discounts without cancelling or suspending your insurance. You should pursue this option with your insurance company first if the bill is truly burdensome.
  • There is an alarming trend of increased accident fatalities on American roads despite the dramatic decline in traffic, because drivers feel emboldened by the quiet roads. Don’t expose yourself to unnecessary risk.

Preparing for the inevitable is perhaps more important—and more front of mind—than ever. As you take precautions to avoid getting sick, remember that nothing has changed with regards to the necessity of insurance policies. Your safety is paramount. More importantly, the cost of an accident could be more crippling now than ever before.