Does Insurance Cover Stolen Car If Keys Left?

Let’s cut to the chase. Yes, people do leave their keys inside the vehicle. A quick coffee run turns into a panic call to the police. You turn back. The car is stolen. Just like that.

Auto theft isn’t bizarre or a rare incident in the United States. Because every 37 seconds, a vehicle is stolen, according to NHTSA (National Highway Traffic Safety Administration, 2024). Fortunately, this figure has significantly dropped by 17% compared to previous years, as per the NICB report.

However, still more than 850,000 vehicles were stolen in 2024 alone, which made it a multi-billion-dollar crime. And yet, not everyone knows if their auto insurance will cover a stolen car, particularly when the keys are left behind.

In this article, we’ll answer this question thoroughly. We’ll walk you through the types of coverage that matter most, and when your claim might be denied. You’ll also learn how much your insurance company might pay, what to do the moment your vehicle goes missing, and how to protect yourself from future theft.

Does Car Insurance Cover Theft with Keys Inside?

The shortest answer is yes. Car insurance does cover a stolen car even if you left your keys inside the vehicle. Despite this forgetfulness, your insurer will pay for your stolen car as long as you carry comprehensive auto insurance coverage. This policy typically comes with a full coverage insurance policy.

If you have it, your insurance carrier will likely cover a stolen car regardless of whether the vehicle was locked, left running, or had keys inside. That’s because comprehensive insurance covers non-collision events (AKA “other than collision”) like theft, vandalism, flood, or even a stolen catalytic converter.

In short, if your car is stolen and never recovered, you’ll be covered. You just need to pay the comprehensive deductible.

However, if your insurance company suspects fraudulent auto theft claims, which do happen commonly, your claim will be denied. So, when claiming for auto theft in any situation, make sure to gather and prepare supportive evidence for your claim.

Learn More: Does Liability Insurance Cover Theft?

Types of Auto Insurance That Help Cover Car Theft

Car theft isn’t rare anymore. They are everywhere. And unless you have the right kind of car insurance coverage, you might be left covering the loss on your own.

So, what are the right types of auto insurance policies that may be useful in auto theft incidents? Three auto policies that actually help when your vehicle is stolen regardless of whether keys are left inside, or the car is running:

• Comprehensive Car Insurance (Already mentioned)
• Uninsured and Underinsured Motorist Coverage
• Gap Insurance

Comprehensive Car Insurance

As mentioned earlier, comprehensive auto insurance is the only policy that will cover your stolen car regardless of where you forgot your keys. If you have this coverage, your insurer will pay the actual cash value of your stolen car, up to the coverage limit.

• This policy covers various situations, including:
• Car theft
• Collision with animals (e.g., hitting a deer)
• Vandalism
• Fire
• Natural disasters (e.g., floods, hail damage, rain, earthquakes, storms)

If you need comprehensive coverage, choose our affordable full coverage auto insurance policy. It includes liability, collision, and comprehensive coverage. Bundling these together ensures you’ll enjoy the lowest rate. L.A. Insurance is recognized as an affordable insurance agency across many states, including Michigan, Colorado, Texas, Florida, Georgia, Arizona, and Nevada. Our friendly insurance agents are available both in-person and online. Contact us today for your auto insurance quote or call (800) 893-9393.

Uninsured and Underinsured Motorist Coverage

This one’s a bit misunderstood. While it won’t directly cover a stolen car, it can be useful during a hit-and-run or if you’re hit by someone driving a stolen vehicle with no insurance.

Let’s say a thief steals your car, crashes into someone else, and disappears. Your liability insurance wouldn’t cover you, but if the other driver sues or there’s an injury, this coverage can come in handy. It’s like a legal and financial shield for the mess that follows after a vehicle theft incident.

Here's what is covered by uninsured and underinsured coverage:

• Medical expenses
• Lost wages
• Pain and suffering resulting from accidents
• Vehicle repair and replacement costs
• Funeral expenses

Gap Insurance

This one is very crucial if you’re financing or leasing your vehicle. When your financed/leased vehicle is stolen and considered a total loss, your insurance company will only pay the actual cash value. However, if there is any remaining loan or lease, you would have to pay out of pocket.

But if you have gap insurance, it will pay the outstanding amount, and you don’t have to pay a penny for the vehicle you already lost.

Let’s say, your car’s worth $18,000 today, but you still owe $22,000 on it. Without gap insurance, you’d be on the hook for the $4,000 difference.

Gap insurance literally “fills the gap” between what your vehicle insurance pays and what you still owe. It’s a lifesaver when depreciation hits hard and cars depreciate faster than you can blink.

When Does Auto Insurance Won’t Cover Stolen Car?

Just because you have auto insurance doesn’t mean you’re fully protected from car thefts. There are a few situations where your insurance company may flat-out deny your claim. This could leave you with nothing but frustration and a missing vehicle.

Here's when your insurance might say “no” and simply deny your auto theft claim:

• If you don’t have comprehensive coverage, theft isn’t covered. Liability auto insurance or collision insurance alone won’t help when your car is stolen.
• You left the keys inside the car repeatedly. Sure, one mistake might get covered. But if you leave the keys inside your vehicle habitually, your claim could be denied due to negligence. Insurers expect a reasonable level of responsibility.
• You didn’t report the theft to the police. Every insurance company requires a police report when filing a theft claim. No report? No payout. You can learn more about it by reading “Can you claim car accident without  police report?”
• You lied or exaggerated your claim. This is where insurance fraud creeps in. Fraud occurs in about 10% of property-casualty losses which steals 308.6B every year from American consumers according to the Coalition Against Insurance Fraud. So, if your insurer finds even a hint of dishonesty, expect an investigation and denied claim.
• Your premium wasn’t paid. An inactive insurance policy means you’re not covered. If you missed payments, your insurance coverage may have lapsed right when you needed it most.
• Stolen items inside the car are not covered under auto insurance. Things like your laptop, phone, or other personal property usually aren't covered by your auto insurance. You’d need home insurance/renter’s insurance/ property insurance for that.

Interesting Fact: Did you know that over 85% of stolen vehicles were recovered in 2023, according to data from the National Insurance Crime Bureau? If your car is stolen, don’t panic. There’s a high chance it will be recovered soon.

Related Reading: Does Auto Insurance Cover Lost Keys?

How Can I Be Sure My Car Insurance Covers Vehicle Theft?

It's easy to determine whether you're covered in case your car is stolen.

• Check your policy documents. Look specifically for the section that mentions comprehensive insurance.
• Call your insurance company and ask them directly: “Does my car insurance policy cover theft if the keys are left inside the vehicle?" Get clarity in writing, if possible.
• Look for theft-related terms. Scan your policy for terms like “theft”, “vandalism”, or “comprehensive coverage”. These are indicators that your insurance coverage includes protection for car thefts.
• Understand the deductible. Even if theft is covered, your deductible matters. This is the amount you’ll pay out of pocket before your insurer will cover the rest.
• Review any exclusions. Some policies include fine print that limits coverage like denying claims if you leave the keys in the ignition or if the car was unlocked.
• Ask about stolen items inside the car. As we already mentioned, your auto insurance won’t usually cover things like a laptop or bag. 

How Much Will My Insurer Pay for a Stolen Vehicle?

The payout you receive for a stolen vehicle depends on one main factor: your vehicle’s actual cash value at the time of the theft.

Here's how it works:

• Your insurance company will assess the actual cash value (ACV) of your vehicle that is the market value minus the depreciation.
• From that, they subtract your deductible. For example, if your car’s worth $18,000 and your deductible is $1,000, the payout will be $17,000. 

Key Tips for Preventing Auto Theft

• Never leave the keys inside or leave your vehicle running unattended.
• Always lock doors and close windows before stepping away from the car.
• Park in well-lit, busy areas with visible security cameras.
• Install a steering wheel lock or brake pedal lock for extra protection.
• Use a GPS tracker or vehicle recovery system.
• Hide valuables. Visible items can attract theft.
• Etch the vehicle identification number on windows and major car parts.
• Activate your car’s built-in alarm or anti-theft system.
• Keep registration and title documents out of the car.

Does Car Insurance Cover Stolen Vehicle If Keys Are Left: Conclusion

To recap, yes, comprehensive coverage can still cover a stolen car even if the keys are left inside. However, your insurance company may investigate the situation. Just make sure your insurance policy includes theft protection and you’ve taken reasonable steps to prevent it.

Related Readings:

• Does insurance cover auto repairs?

Frequently Asked Questions (FAQs)

What to do first if my car gets stolen?

Stay calm. Start by confirming whether your car is stolen or just towed. If it’s stolen, contact the police right away to file a report. Next, reach out to your insurance company to begin your claim. Be prepared to share details such as your car’s make, model, color, license plate number, VIN, the time and place you last saw it, any unique features, and anything unusual you observed at the scene.

How long will it take to get reimbursement for a stolen vehicle?

It usually takes 14 to 30 days. Your insurance company waits in case the vehicle is recovered before paying out. Usually, 34% of stolen vehicles are recovered within the same day.

When does the insurer deny the claim for a stolen car?

If you committed fraud, left no proof of theft, or violated your policy terms, your claim may be denied.

Does insurance cover theft if your car door is unlocked?

Yes, comprehensive auto still covers it. However, an unlocked car may raise suspicion during the insurance investigation.

What insurance covers stolen items from car?

Auto insurance doesn’t cover stolen personal items. You’ll need home insurance or property insurance to claim those losses.