Does insurance cover if your car catches on fire?

Yes—if you carry comprehensive coverage, fire damage to your vehicle is typically covered, whether the blaze starts from an electrical fault, arson, a garage fire, or a wildfire; liability-only policies won’t pay to repair or replace your own car. If the fire follows a crash, your insurer may apply collision or comprehensive depending on the cause and policy language, while any damage your car’s fire causes to others usually falls under your liability coverage. Deductibles, exclusions, and state rules can affect outcomes, and personal items inside the car are generally covered by homeowners or renters insurance, not auto.

What type of insurance pays for car-fire damage?

Car-fire coverage depends on the kinds of insurance you carry and what caused the loss. In most U.S. policies, fire is a named peril under comprehensive coverage, while liability protects others if your vehicle’s fire causes damage. Some benefits or endorsements can also soften the financial hit after a total loss. Here’s how the main coverages line up.

• Comprehensive: Covers fire damage to your car from non-collision causes (electrical/engine fires, arson, vandalism, garage or building fires, wildfires, lightning). Applies to gas, hybrid, and EV battery fires; a deductible usually applies.
• Collision: May apply when the fire directly results from an impact you’re involved in. Some insurers still route fire to comprehensive; others apply collision if the crash is the proximate cause. Your policy wording and claims handling determine which deductible applies.
• Liability (property damage and bodily injury): Pays for injuries or property damage you cause to others if your car catches fire and spreads or explodes. It does not repair your own vehicle.
• Uninsured/Underinsured Motorist Property Damage: Can cover your car if another driver without adequate insurance causes a crash that leads to a fire, where available and elected; rules vary by state.
• Personal Injury Protection/MedPay: Covers medical costs for you and your passengers after a fire-related accident, subject to state requirements and policy limits.
• Gap/Lease payoff: Covers the difference between your loan/lease balance and the vehicle’s actual cash value if the car is totaled by fire.
• Rental reimbursement and towing: Helps with a rental car and tows after a covered fire loss, if you’ve added these options.

In short, comprehensive is the backbone for fire losses to your own car, while liability-based coverages protect others. Optional add-ons can reduce out-of-pocket costs during repairs or a total loss process.

Common scenarios and how insurers treat them

Fire losses arise from many situations, and insurers typically assess the proximate cause and your coverages to determine how claims are paid. The following examples show how claims are generally handled.

• Engine bay electrical fire while driving: Usually comprehensive, minus your deductible.
• Arson: Comprehensive covers; insurers may investigate and pursue subrogation. Claims can involve anti-fraud reviews.
• Wildfire or brush fire: Comprehensive covers smoke, soot, heat, and fire damage; evacuation orders do not trigger coverage by themselves.
• Home garage fire: Your auto’s damage is on your auto policy (comprehensive), not homeowners. Homeowners may cover the structure and personal property; the car itself is excluded.
• Post-collision fire: Often collision (if the crash led to the fire), though some carriers still process under comprehensive. Damage to other vehicles or property is a liability claim if you’re at fault.
• EV battery thermal runaway: Comprehensive covers physical loss; many EVs are totaled if the battery pack is compromised. Manufacturer warranties may address the defective component, but the overall fire damage is an insurance claim.
• Recall-related fire: Resulting damage is typically covered by comprehensive; the defective part repair itself may be a warranty or manufacturer responsibility.
• Aftermarket modifications: Covered up to policy limits; undeclared or high-value custom parts may need a custom-equipment endorsement to be fully covered.

While specifics vary by insurer and state, these patterns are common across standard personal auto policies. Your declarations page and policy booklet control the final determination.

What’s not covered or limited

Auto policies contain exclusions and limitations that can reduce or eliminate coverage for fire losses. Understanding these ahead of time can prevent surprises at claim time.

• Intentional acts or fraud: Deliberate damage is excluded and may trigger criminal/civil penalties.
• Racing or commercial use without proper endorsements: Track events or certain business uses can be excluded unless you added coverage.
• Wear and tear or mechanical breakdown: The failed part itself isn’t covered as maintenance, but the resulting fire damage typically is under comprehensive.
• Personal belongings inside the car: Usually excluded by auto insurance; homeowners or renters policies may cover them, subject to deductibles and limits.
• Policy limits and deductibles: Payouts cap at the vehicle’s actual cash value (ACV) minus the deductible; custom equipment limits are often low unless increased by endorsement.
• Undeclared modifications or non-OEM equipment: May be limited or excluded without a stated-value or custom-parts endorsement.

If you have unique risks—such as high-value modifications or ride-hailing—work with your insurer or agent to add endorsements and raise limits where needed.

How to handle a car-fire claim

After a vehicle fire, safety comes first, followed by careful documentation and prompt notice to your insurer. These steps help protect your health and improve claim outcomes.

1. Get to safety and call 911; do not open the hood fully if flames are present, as sudden oxygen can intensify the fire.
2. Document the scene with photos/video from a safe distance, including surroundings and any third-party damage.
3. Exchange information if another driver or property owner is involved; gather witnesses and contact details.
4. Notify your insurer quickly; ask whether the claim will be handled under comprehensive or collision and confirm your deductible.
5. Arrange towing to an approved facility; do not authorize tear-downs before the insurer’s inspection.
6. Preserve evidence (faulty parts, aftermarket devices) for adjusters and, if needed, subrogation or manufacturer review.
7. Request the fire report from the fire department; provide it to your adjuster.
8. Discuss rental coverage, total loss thresholds, and settlement method (ACV vs. new car replacement, if endorsed).
9. If another party is at fault, your insurer may pay first and seek reimbursement (subrogation); you could recover your deductible if they collect.

Clear communication, documentation, and patience with inspections or investigations—common in fire claims—can speed resolution and protect your interests.

Costs, deductibles, and total loss

Fire claims often lead to total losses because heat and smoke can compromise critical systems. Settlements are generally based on the vehicle’s actual cash value (market value minus depreciation), less your comprehensive or collision deductible. EVs with damaged battery packs are more likely to be totaled due to high replacement costs. Filing a comprehensive claim can affect premiums, though typically less than an at-fault collision; impacts vary by insurer, state, claim history, and whether a claim-free discount is lost.

Tips to reduce risk and out-of-pocket costs

While not all fires are preventable, maintenance and preparation can lower risk and improve claim outcomes if something goes wrong.

• Address recalls promptly and keep proof of completion.
• Fix fluid leaks and electrical issues early; avoid over-fusing circuits or DIY wiring.
• Be cautious with aftermarket electronics and battery tenders; use quality parts and proper installation.
• Park away from dry brush in high fire risk periods; avoid parking over tall grass with a hot exhaust.
• Keep insurance updated for custom parts, usage (e.g., rideshare), and appropriate deductibles.
• Store a small automotive fire extinguisher if safe and legal; never risk personal safety to fight a car fire.
• Install heat/smoke detection in garages and maintain clear egress.

Preventive steps can’t eliminate risk but can reduce the chance of a total loss and help ensure your policy responds as expected.

Summary

Most car fires are covered if you carry comprehensive coverage; liability-only policies won’t repair or replace your vehicle. Fires following a crash may be handled under collision or comprehensive depending on cause and policy terms, and your liability can cover harm to others. Expect a deductible, potential investigations, and a total loss if damage is extensive—especially with EV batteries. Keep documentation, report promptly, and confirm coverages and limits with your insurer, since details vary by policy and state.

What happens if a car catches fire?

What to Do if Your Car Catches Fire. Your health and safety come first. Exit the vehicle, move away from the fire, and call 911. If you’re injured, seek immediate medical attention.

What insurance would cover your car if your car catches fire?

Comprehensive Coverage
Comprehensive Coverage:
Comprehensive coverage, also known as “other than collision” coverage, protects your vehicle from damages caused by non-collision events. This includes incidents such as theft, vandalism, natural disasters, and yes, car fires.

What type of insurance coverage is a vehicle that catches on fire or is stolen?

Comprehensive coverage is a type of coverage you can add to an existing car insurance policy that covers damage to your car that isn’t your fault and that isn’t related to a crash. Some examples include if your car is stolen or vandalized, catches fire, or is damaged by weather.

Will insurance pay for car fire?

“So if you have comprehensive coverage on your car, then your loss would be covered under your auto policy.”