Towing Insurance
What Does Towing Insurance Mean?
Towing insurance, commonly referred to as towing and labor (TL) coverage, provides coverage for a specified amount to tow the policyholder’s car to an auto shop, as well as for labor charges at the breakdown site.
Insuranceopedia Explains Towing Insurance
In addition to towing, towing insurance may cover various roadside assistance services, including tire changes, battery services, lockout assistance, and the delivery of gas, oil, or water. However, exclusions typically apply if the vehicle breakdown results from an accident or collision, in which case collision or comprehensive coverage would cover the towing fees. While towing insurance is generally affordable, it may not always be necessary. Policyholders might already have similar coverage through credit card perks or find that roadside assistance clubs, like AAA, offer a more cost-effective option.
