Do you have questions about the Insurance offered by Carvana? Perhaps you want to know if you have to purchase insurance through Carvana. We reviewed the information about Carvana insurance, protection plans, and insurance verification.
In this article, we’ll tackle those topics and frequently asked questions. Keep reading to find the answers you need!
Does Carvana Offer Car Insurance?
Carvana offers car insurance underwritten by Root to customers purchasing a car through Carvana. The insurance must be purchased before the car is delivered, but it can be added through the customer dashboard up until then.
Pro Tip: Carvana Insurance is available in most states.
Where Does Carvana Offer Insurance?
Carvana has partnered with Root to offer insurance to customers in 33 different states. If you are located in an eligible state, then a quote will be shown to you during the purchase process online.
Insurance sold by Carvana is offered in the following states:
| AL | FL | KY | ND | OR | VA |
| AR | GA | LA | NE | PA | WI |
| AZ | IA | MD | NM | SC | WV |
| CO | IL | MO | NV | TN | |
| CT | IN | MS | OH | TX | |
| DE | KS | MT | OK | UT |
How Do You Insure A Car With Carvana?
During the purchase of a car from Carvana, you can add insurance underwritten by Root and sold by Carvana to the purchase. During the purchase process, a quote is automatically provided to you in states where insurance is available.
Carvana customers upload all of the information needed for auto insurance as part of the car-buying process, so by following the prompts during purchase, insurance can easily be added.
Pro Tip: Customers may also purchase insurance any time between purchase and delivery.
What Happens if My Carvana Car Is Totaled?
If a Carvana car is totaled, the process will be the same for any totaled car. For a collision, vandalism, or theft, contact the police and file a report. The specific situation will dictate what type of coverage protects you. Carvana offers GAP Coverage with car purchases for those who need it.
If you only have liability insurance, we have additional information available here. We created a table to help identify situations and what type of insurance coverage will pay when a car is totaled.
| Situation | How the Value of the Car is Covered |
|---|---|
| Car was stolen or vandalized and totaled. | Your auto insurance: Comprehensive Coverage |
| Car was totaled in a collision, and you’re at fault. | Your auto insurance: Collision Coverage |
| Car was totaled in a collision, and you’re not at fault. | At-fault driver’s auto insurance: Liability Insurance |
| Car is totaled, and the insurance payout (value of the car) is less than I owe. | GAP Coverage |
Can You Add Carvana Protection After Purchase?
Carvana’s protection plans can be added until you receive the car at delivery or pick-up. Protection plans include auto insurance policies underwritten by Root, GAP Coverage through Carvana, and three levels of Carvana Care.
What is Carvana Care?
Carvana Care is offered in three levels: Carvanacare Essential, Carvanacare Plus, and Carvanacare Premier. Each level can be canceled anytime, and covered repairs have a $0 deductible. Repairs must be completed at a facility on Carvana’s plan.
We put together a table that explains the basics of what is covered at each level of Carvana Care. A more detailed list is available.
| Carvanacare Essential | Carvanacare Plus | Carvanacare Premier |
|---|---|---|
| Basic Mechanical Coverage | Comprehensive Coverage | Premium Coverage |
| • Core engine • Transmission • Powertrain | • Basic Mechanical Coverage • Bumper to bumper mechanical and electrical components • ACPower steering • Fuel systems | • Basic Mechanical Coverage • Comprehensive Coverage • Minor cosmetics • Tires and wheels • 3 Oil changes for one year • 3 Tire rotations for one year |
Does Carvana Verify Car Insurance?
Carvana verifies insurance before car delivery or pick-up. Insurance verification is required in most states for vehicle registration, and Carvana completes the registration process on behalf of customers. When Insurance is purchased through Caravana, verification is automatic with policy purchase.
How Long Does Carvana Insurance Verification Take?
Once all the documents have been uploaded to Carvana, it typically takes 1-2 business days for them to be verified. On some occasions, verification may take longer.
How Do I File a Claim With Carvana Insurance?
Carvana insurance is underwritten by Root. Claims can be filed in the Root app, online, or by calling. Root’s phone number is 833-360-2743, and is available Monday through Friday, 9 am to 8 pm Eastern. Claims can be filed online or in the app 24/7.
Frequently Asked Questions
Can I be denied by Carvana?
Any lender like Carvana may decide not to loan money based on credit score or income. Sometimes denial is due to a mistake like misentered information. Feel free to ask any lender for more information about their denial decision.
Is Carvana in financial trouble?
Carvana’s lenders have restructured debt agreements in ways that indicate that they are worried about Carvana’s ability to make debt payments. Carvana’s stocks have also dropped in value as the value of used cars has come back down. That doesn’t mean Carvana won’t survive, though.
What do Carvana customers need to be aware of?
Make sure that Carvana immediately delivers the title when you receive the vehicle. In Illinois, Carvana has lost its license twice for not completing proper paperwork to transfer titles. Just be sure that you have the title to keep yourself safe.
Why was Carvana popular?
Carvana became popular during the COVID-19 pandemic because of the very low contact in selling and purchasing cars. Additionally, the shortage of microchips for new vehicles boosted the value and demand for used cars.
Resources
Carvana (2023). Carvana Car Vehicle Service Plan. Carvana.com. Retrieved January 12, 2023, from https://www.carvana.com/vehicle-protection-plans
Carvana (2023). Carvana Insurance: A Simpler Insurance Solution. Carvana.com. Retrieved January 12, 2023, from https://www.carvana.com/insurance
Kelley Blue Book (2022, December 8). Carvana Bankruptcy Concerns: What They Mean For Shoppers. Kbb.com. Retrieved January 12, 2023, from https://www.kbb.com/car-news/carvana-bankruptcy-concerns-what-they-mean-for-shoppers/
Jesse Cunningham V is a professional writer and licensed insurance agent. He has worked in the insurance industry in different capacities, starting as a customer service representative and working his way up to an independent agency owner. He is licensed in the states of Maryland and Pennsylvania for Property, Casualty, Life, and Health products. Jesse has worked with many national carriers, including Nationwide, State Farm, Travelers, and Liberty Mutual, and specializes in car and home insurance and health, life, accidental death, and disability insurance. He writes for multiple publications including FIXD and Bauple.com. All articles by Jesse are opinion-based. Speak with your licensed insurance agent about the particulars of your insurance before making any decisions.
