Does Auto Insurance Cover Lost Keys?

Losing your car keys can be incredibly frustrating. Without access to your vehicle, you may be stranded or forced to find alternate transportation. Replacing lost keys can also be expensive, especially if you drive a newer vehicle with smart key technology. So does your auto insurance pay for lost key replacement?

Unfortunately, standard auto insurance policies do not cover the cost of replacing lost or misplaced keys. However, your auto insurance may help in other ways if your keys go missing. And other types of insurance like homeowners or renters insurance could potentially cover the cost of replacing lost car keys.

Let’s take a closer look at how different insurance policies handle lost car keys.

Auto Insurance and Lost Keys

Auto insurance is primarily designed to cover vehicle damage resulting from collisions, theft vandalism, weather events and other hazards. Standard policies like collision, comprehensive and liability coverage focus on repairing or replacing damaged or stolen vehicles – not lost items like keys.

However, some auto insurance options could provide assistance if you lose your car keys:

• Roadside assistance – Many auto insurance companies offer roadside assistance plans that include lockout service. This dispatches a locksmith who can make a new key so you can get into your vehicle. You typically have to pay the locksmith’s fee for a new key, but roadside assistance covers the cost of sending the locksmith.

• Rental car reimbursement – If you lose your only set of keys and need alternate transportation while waiting for replacements rental coverage under your auto policy may help pay for a rental. Just note that this only applies if your vehicle is undrivable without the keys.

• Vehicle replacement – Comprehensive auto insurance covers theft of vehicle parts. So if your keys are stolen along with your vehicle, your insurer would likely replace your keys if the car is recovered but your keys are not.

While auto insurance can provide some help, you’ll still be responsible for the actual key replacement costs if you simply lose your keys. And if you only misplace your keys temporarily, your auto insurer won’t provide any coverage.

When Do Other Insurance Policies Cover Lost Keys?

If your auto insurance leaves you stuck with the bill for new keys, you may be able to get coverage through other insurance policies:

Homeowners or Renters Insurance

Homeowners and renters insurance provides personal property coverage for your belongings even when they aren’t in your home. This includes items temporarily outside your residence like keys, bags, electronics and more.

So if your keys are lost or stolen while out of your house, your homeowners or renters policy may cover the cost of replacements minus your deductible. Just be aware that coverage limits and deductibles apply. If you have a high deductible or low coverage limits, the reimbursement may not exceed your out-of-pocket costs for new keys.

Umbrella Insurance

Umbrella insurance sits above your other policies to provide additional liability protection and expanded coverage. Some umbrella policies extend coverage for certain losses not covered by the underlying insurance, like identity theft costs or lost valuables.

If you have this type of umbrella coverage, the loss of your car keys could be covered. But this is not a common umbrella insurance benefit, so review your policy specifics.

Vehicle Protection Plans

In a few states, insurance companies offer an optional vehicle protection policy or auto deductible reimbursement coverage. These are specifically designed to cover small costs like replacing keys that fall below your standard deductible.

So if you purchase one of these additional coverages, you can make a claim to cover the cost of replacing lost keys. Availability of these plans varies widely though, so they are not an option for most drivers.

Roadside Assistance Plans

Many auto clubs and vehicle manufacturers offer their own roadside assistance programs separate from insurance. These typically include lockout service just like auto insurance roadside assistance.

The key benefit is that some roadside assistance plans cover the full cost for a locksmith to create new keys. With auto insurance roadside assistance, you pay the locksmith fees. So if you have a standalone roadside assistance membership, you likely won’t have any out-of-pocket costs to replace lost keys.

When Should You Make an Insurance Claim for Lost Keys?

Since auto insurance excludes coverage for lost keys in most situations, you’ll likely need to turn to homeowners, renters or umbrella insurance if you want coverage. But is filing an insurance claim the right choice?

Here are some factors to consider:

• Cost of replacements – If new keys will be cheap, paying out of pocket rather than making a claim is often easier. But if you need an expensive smart key, the reimbursement may be worth the claims process.

• Deductible amount – If your homeowners or renters deductible exceeds the key replacement cost, then making a claim usually isn’t worthwhile.

• Likelihood of recovery – Insurers are sometimes hesitant to cover lost or misplaced items since it can be hard to prove they are truly lost. Claims for stolen keys are often processed more smoothly.

• Premium increase – Too many claims could raise your insurance rates at renewal. Weigh the long-term costs of a premium hike against the short-term savings from a claim.

• Availability of coverage – Not all policies provide coverage for keys lost outside the home. And limits or exclusions may apply. Check your specific insurance policy before filing a claim.

Doing a quick cost-benefit analysis can help you decide if making an insurance claim makes sense for your situation. Keep in mind that reimbursement is never guaranteed – the insurer ultimately decides if a claim is eligible for payment.

How Much Does It Cost to Replace Lost Car Keys?

The cost to replace your car keys depends on a few key factors:

• Key type – Basic metal keys are cheapest, while programmed transponder keys and smart keys can be much pricier. Luxury and high-tech vehicles typically have the most expensive replacement keys.

• Programming – Modern keys often need to be electronically programmed and may require special equipment. This adds to the replacement cost.

• Source – Keys copied from an existing spare are less expensive than replacements originating from the dealer or locksmith.

• Service call – If a locksmith must come to your location to make a new key, fees for the service call typically apply.

On average, here are typical key replacement costs:

• Basic metal key – $3-$8 for a simple copy
• Transponder key – $15-$50 for key and programming
• Smart key – $100-$400 from the dealer
• Locksmith service call – $50-$100

You can sometimes save money on smart keys by utilizing reputable locksmiths who can program transponder and smart key replacements. This avoids the high dealership prices. But programming success rates may be lower.

5 Tips to Avoid Losing Your Keys

Replacing lost car keys is inconvenient and expensive. Plus you may need to rely on insurance claims or pay out of pocket. Avoid the hassle by taking steps to prevent losing your keys in the first place:

• Add identifiers – Put a tag on your keyring showing your name and phone number so you can be contacted if found.

• Don’t overload your keyring – Carrying too many keys at once increases the chances of dropping them. Pare down your keyring to just essentials.

• Pick a spot at home – Designate a spot for your keys by the door so you always know where to find them.

• Downsize your keyring – Bulky keychains are easier to lose. Opt for a minimal split ring or slim style key holder.

• Get a tracker – Bluetooth trackers like Tile let you use your phone to find lost keys. Life savers if you frequently misplace your keys at home.

A little diligence goes a long way in preventing lost car keys. But if your keys do disappear, you have options for replacement – whether through insurance claims or paying out of pocket. Just be prepared for some inconvenience as you get your vehicle accessible again.

The Bottom Line

Standard auto insurance policies do not cover the cost of replacing lost keys. But drivers do have options, including:

• Using auto insurance roadside assistance to access a locked vehicle
• Potentially claiming the loss under homeowners, renters or umbrella insurance
• Tapping into secondary policies or coverages like vehicle protection plans
• Paying out of pocket for inexpensive key copies or costlier smart key replacements

Review your insurance coverages and know the key replacement process before your keys go missing. While an inconvenience, a lost key incident doesn’t need to be a catastrophe as long as you know where to turn for help. With some preparation and diligence about your keys’ whereabouts, you can save yourself the hassle of lost keys resulting in a missing vehicle.