What is the effect of a personal auto policy if a vehicle is involved in an accident while being parked at a garage?

When a vehicle is involved in an accident while being parked at a garage, the personal auto policy typically acts as an excess coverage. This means that the policy will provide coverage only after any other applicable insurance has been exhausted. If the garage carries its own liability insurance or if other vehicles are involved, that insurance would need to pay first before the personal auto policy comes into play.

In this situation, the personal auto policy is still active but doesn’t automatically provide full coverage for all damages. Rather, its role is to supplement any primary insurance coverage that is in effect. Therefore, it is important for policyholders to understand that while they may have a personal auto policy, it often only plays a secondary role in such circumstances, reinforcing the significance of additional insurance that may be in place. This highlights the concept of coordination of coverage among different insurance policies, ensuring that claims are managed appropriately.