Does car insurance cover lost car key replacement?
Standard auto insurance does not cover the cost of replacing a key you lose. Losing a key is not a collision, theft of the insured vehicle or another covered physical loss. You pay for a replacement yourself unless your policy includes a specific key-replacement benefit, vehicle-protection plan or roadside service that covers part of the cost.
Does it matter if the car keys are lost or stolen?
Yes. A lost key is an ordinary personal expense, while a stolen key creates an added vehicle-security risk. Standard auto insurance does not pay simply because someone stole the key, but comprehensive coverage will pay for damage if the thief steals, vandalizes or attempts to steal the insured vehicle.
If your key is stolen, contact the police and your insurer. Ask whether you should erase the missing key from the vehicle’s system, reprogram the remaining keys or replace the locks. These security steps can prevent the stolen key from being used to take the car.
Sandra Spann, a spokeswoman for American Family Insurance in Madison, Wisconsin, says American Family Insurance covers smart keys or any other key replacement only if the keys are damaged in a covered loss, such as a vehicle fire. Comprehensive coverage pays to repair or replace your vehicle if it's stolen, vandalized or damaged by fire, hail or a flood.
"We don't cover the keys themselves, just the vehicle," she says. "If your keys got damaged from a fire or crash that damaged the steering column, that would be a covered loss."
Spann adds that your deductible applies, and most key replacement costs fall below the deductible.
"You need to remember that when you want to make a claimAn insurance claim is a request you make to your insurance company for coverage after your car is damaged or you have an accident. You can file a claim online, by phone, or in writing., you'll have to pay your deductible," she says. "Some people still have a relatively low deductible, but many have a deductible of $500 or $1,000 on their car and home insurance policies. If your deductible is higher than the cost of your replacement keys, it makes sense to just pay for them yourself."
To avoid confusion, it is best to check your policy documents or contact your auto insurance provider to determine whether there is any coverage for keys.
How much does it cost to replace a smart key?
Car key replacement costs depend on the key type, vehicle, labor rate, and whether the key needs cutting, programming, or dealer equipment. A basic metal key costs less than a transponder, remote-entry fob, or smart key. AAA notes that a replacement smart key fob costs well over $100 and requires programming by a dealer or locksmith. Luxury car keys can cost as much as $400 to replace.
"Generally, it costs $200 to $400 to replace a smart key on a luxury car, plus you have to factor in labor costs to program it, which can be $100 an hour," says Ronald Montoya, consumer advice editor for Edmunds.com, a supplier of car information, in Santa Monica, California.
Montoya says newer models of cars have laser-cut keys with built-in transponder chips that must be programmed by a dealer or a qualified locksmith.
"If you lose all the keys to your car, you may need to replace the locks, which could cost $1,000," Montoya says.
The inconvenience may rival the cost. A locksmith may be able to get you inside again, but they may not be able to reprogram all types of keys – and that means a trip to the dealership on a tow truck.
What other type of insurance covers stolen car keys?
Homeowners or renters insurance might cover a stolen car key as personal property, but coverage depends on your policy. Your deductible applies, and it is likely higher than the cost of replacing the key. The policy also might not cover programming the replacement key, disabling the stolen key or changing the vehicle’s locks.
Spann says consumers should check with their home insurance company to see if they have coverage for lost or stolen keys.
"American Family's home insurance covers dwelling keys and garage door openers without charging a deductible, but this coverage doesn't apply to car keys," Spann says.
Can you buy insurance for car key replacement?
You can buy optional key-replacement coverage from some auto insurers, dealerships, vehicle service-plan companies and membership programs. These plans can cover lost, stolen or damaged keys, but payment limits, deductibles and exclusionsItems that are specifically denied coverage under the terms of an insurance policy. For example, most auto insurance policies exclude coverage for normal wear and tear, drag racing and intentional acts. differ by provider.
These car key protection plans usually cover:
- Key fob costs
- Door key replacement costs
- Locksmith charges
Ask the dealer when you are buying a car if this add-on coverage is available.
Frequently asked questions
Does roadside assistance cover lost keys?
No. Roadside assistance coverage doesn't cover the cost of lost keys, but some plans may offer key-related services, such as key lockout assistance or locksmith services, as part of their roadside assistance package.
Read about whether using roadside assistance programs raises insurance premiums.
Does insurance cover a lost key?
No. Standard car insurance policies do not cover the cost of lost keys. However, some insurance companies offer optional coverage or endorsements that may provide limited coverage for lost or stolen keys.
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