I like to think, as a car guy, that I know a good bit about cars. Growing up, my father always had a classic car in the garage. We have owned a Thunderbird, a Mustang, a Bel-Air, and even a Beetle. On weekends, we would drive the car of the time to antique car shows and occasionally it would break down along the way. I recall one drive when the brakes on our Bel-Air gave out as we approached a 90-degree right turn. Breakdowns and diagnosing issues are part of the adventure with these cars.
Thankfully our cars now come equipped with computers that warn us when a particular system goes down or needs service. This takes some of the fun out of trying to diagnose car troubles, but quickens the repair time. Last week, I experienced something that I have never had happen to me with my car. Every emergency indicator lit up on my dashboard at once!!! No power steering, no airbag protection, no restraint protection, drivetrain malfunction, and the parking break would not release. Essentially, it was dead. All I could do was call a flatbed and get it to the shop for a diagnosis.
After three days, the shop called me with the cause of my problem. Squirrels. Cute little squirrels got under my hood and chewed through the electrical wires. Searching “squirrel auto damage” online, I learned that this happens quite often. Apparently, squirrels have four front teeth that never stop growing. Their desire to gnaw combined with a warm, tight spot under your car hood is an open invitation to chew and wreak havoc.
While this is an unfortunate situation, you may be wondering, "What does this have to do with financial planning?"
Squirrel damage, or damage by an animal, is not covered by your manufacturer’s warranty – no surprises there. Typically, your homeowners’ policy does not cover damage caused by animals either. If you have any insurance protection, it will be within your auto policy under comprehensive or “other than collision” damage. While collision protection covers physical damage for your car due to impact with another vehicle or object, comprehensive protection covers physical damage due to fire, theft, vandalism, explosion, earthquake, windstorm, hail, water or flood, riot or civil commotion, contact with bird or animal, and breakage of glass. There may be a deductible associated with filing a claim, but your policy coverage may pay for the expenses above this amount.
My recommendation – read through your policy to know what is covered and what is exposed. Also, watch out for the squirrel syndicate. I’ve attached a photo of their destruction.
