My auto insurance renewal just came up (I pay annually) and I'm debating whether to drop collision coverage on my 2007 Civic. The car is long paid off so I can cover it however I want. I can afford the coverage, but it annoys me to no end that the every line item on the policy is a good bit more expensive for the Civic than for my wife's Mazda3. The cars are effectively the same from a practical standpoint and if I wanted to be lightly gouged on insurance I could be driving a much more entertaining car and paying just a little more than I am for this thing. The policy is a good high limits one but I have the deductibles set high to keep the rates lower.
On the one hand I could save several hundred dollars a year by dropping the collision coverage. On the other hand I'd hate to have to pay several thousand to fix the car up if I make a stupid mistake, when the money could be better allocated into the fun car fund.
Yes, I realize this is the fundamental tradeoff related to insurance. I think I know what I'm most comfortable doing already, but I wanted to see what conclusion others have come to in this situation. When do you draw the line where you stop covering a new or nearly new vehicle for collision?
On the one hand I could save several hundred dollars a year by dropping the collision coverage. On the other hand I'd hate to have to pay several thousand to fix the car up if I make a stupid mistake, when the money could be better allocated into the fun car fund.
Yes, I realize this is the fundamental tradeoff related to insurance. I think I know what I'm most comfortable doing already, but I wanted to see what conclusion others have come to in this situation. When do you draw the line where you stop covering a new or nearly new vehicle for collision?