Home › Insurance Guide › How Do Car Recalls Impact Car Insurance?

How Do Car Recalls Impact Car Insurance?

Last Updated on December 27, 2025

Got a recall notice for your car and wondering what it means for your insurance? In most cases, a recall won’t change your premium overnight—but it can affect your costs indirectly (and it can absolutely affect your safety).

Below is how recalls work, whether you need to tell your insurer, what happens if you get into an accident with an open recall, and the smart next steps to protect yourself.

Key Takeaways

A recall is handled by the manufacturer (usually a free fix), so it typically doesn’t change your insurance premium directly.
Recalls can affect insurance indirectly over time if they change a model’s crash risk, repair costs, or loss data.
Insurance generally doesn’t pay for recall repairs, but your coverage can still apply to separate accident damage and injuries.
Check your VIN on NHTSA’s recall tool and schedule the remedy ASAP—especially if there are “Do Not Drive” warnings.

Table Of Contents

How Car Recalls Work
How to Check If Your Car Has an Open Recall
Does a Recall Affect Car Insurance Prices?
When a Recall Can Impact Insurance Indirectly
Does Insurance Pay for Recall Repairs?
What If You Have an Accident Before the Recall Is Fixed?
Do You Need to Tell Your Insurance Company About a Recall?
What to Do If Your Vehicle Is Recalled
FAQs on Car Recalls and Car Insurance
Conclusion

How Car Recalls Work

In the U.S., most safety recalls are tracked through the National Highway Traffic Safety Administration (NHTSA). A recall usually happens when a manufacturer (or NHTSA) determines a vehicle, equipment, tire, or car seat has a safety-related defect or doesn’t meet federal safety standards.

If your car is recalled, the automaker must provide a remedy—typically a free repair, replacement, or refund—through dealerships or authorized repair facilities. Some recalls are quick (software updates, small part replacements). Others can take longer if parts are backordered or the recall is widespread.

How to Check If Your Car Has an Open Recall

The fastest way is to look up your vehicle by VIN (Vehicle Identification Number). You can check your VIN on NHTSA’s recall tool here: https://www.nhtsa.gov/recalls. If you have an open safety recall, schedule the repair as soon as possible.

Some recalls come with special warnings like “Do Not Drive” or “Park Outside” instructions. If you see that language, treat it as urgent.

Does a Recall Affect Car Insurance Prices?

Usually, no—at least not directly. A recall is handled by the manufacturer, not your insurer. It’s not the same as an insurance loss, and it doesn’t work like a car insurance claim, where your company pays for repairs after a covered accident.

So if your car is recalled and you get the free repair, you’ll typically pay the same premium you were paying before. Insurance rates are driven more by factors like your driving history, location, vehicle type, and claims history—plus broader trends in repair costs and loss data (here’s why car insurance premiums change over time).

When a Recall Can Impact Insurance Indirectly

While a recall doesn’t usually trigger an immediate rate change, it can influence insurance costs over time in a few ways:

Safety and loss data: If a defect leads to more crashes or injuries for a specific model, insurers may eventually adjust pricing for that vehicle based on updated loss experience and risk models. Safety is one factor insurers consider (learn more about how vehicle safety ratings affect insurance rates).
Repair complexity and parts availability: Some recalls involve high-demand parts or complex repairs. If those same components are also expensive in normal collisions, that can contribute to higher overall claim costs for that model.
Vehicle value shifts: Major recalls can sometimes affect resale values. This usually has a small effect on premiums, but it can matter for comprehensive/collision pricing on certain vehicles.

Bottom line: recall-related rate impacts are typically slow, model-wide, and based on data—not a direct “you got a recall, so your premium goes up” situation.

Does Insurance Pay for Recall Repairs?

Generally, no. Recall repairs are the manufacturer’s responsibility and are usually performed at no cost to you.

However, your auto insurance may still apply to separate damage that happens around the same time. For example, if you’re in a crash and your airbags deploy, that collision damage is handled through your policy (if you carry the right coverage), even if the vehicle also has an unrelated open recall.

What If You Have an Accident Before the Recall Is Fixed?

If you’re in an accident, your claim is generally handled based on your coverage (liability, collision, comprehensive, etc.) and the facts of the loss. An open recall doesn’t automatically mean your insurer will deny a claim.

That said, it’s still a bad idea to ignore recalls—especially safety recalls—because defects can increase the chance of an accident, increase injury severity, or cause a breakdown at the worst possible time.

Do You Need to Tell Your Insurance Company About a Recall?

In most cases, no. Your insurer typically won’t request recall documentation and doesn’t coordinate recall repairs. Your priority should be getting the free remedy completed.

If you’re shopping for a new policy and want to estimate what coverage might cost in general, try our car insurance calculator for a quick starting point.

What to Do If Your Vehicle Is Recalled

Check your VIN on NHTSA’s recall page and read the remedy instructions.
Schedule the free repair with an authorized dealership or repair facility.
Follow safety instructions (especially “Do Not Drive” or “Park Outside” warnings).
Keep paperwork showing the recall work was completed (useful for resale and peace of mind).

FAQs on Car Recalls and Car Insurance

Do Car Recalls Increase Insurance Rates?

Usually not directly. A recall is handled by the manufacturer and isn’t the same as an insurance claim. Over time, however, insurers may adjust pricing for certain models if loss data or repair costs change.

Does Auto Insurance Cover Recall Repairs?

Generally, no. Recall repairs are typically provided for free by the manufacturer through a dealership or authorized repair facility.

Do I Need to Tell My Insurance Company About a Recall?

In most cases, no. Your insurer usually doesn’t coordinate recall work. Your focus should be checking your VIN and scheduling the free remedy.

What If I Get in an Accident Before the Recall Is Fixed?

Your claim is typically handled based on your coverage and the facts of the accident. An open recall doesn’t automatically mean your insurer will deny the claim, but it’s still best to fix safety recalls quickly.

Can a Recall Make My Car Worth Less for Insurance Purposes?

Major recalls can affect resale values for some vehicles, which may have a small impact on comprehensive/collision pricing. Any changes are usually gradual and depend on broader market and loss trends.

How Do I Check for Open Recalls?

Use your 17-character VIN to check for open recalls at NHTSA’s recall tool. It will tell you if your specific vehicle needs a safety repair and what to do next.

Should I Keep Proof That the Recall Was Fixed?

Yes. Keep the repair paperwork for your records. It can help with resale, and it’s useful documentation if questions ever come up about whether the remedy was completed.

Conclusion

A car recall usually won’t change your insurance rate directly. But recalls can affect safety, repairs, and long-term loss trends—so it’s still smart to take them seriously. Check your VIN, get the free fix, and keep documentation once it’s done.