Last Updated on December 10, 2025

Just about every driver loses their keys at least once. If you end up in this unfortunate situation, getting back into your car is usually easier than it feels in the moment. If you have emergency roadside service coverage, your insurer may help unlock the vehicle or tow it somewhere safe.

However, that’s very different from paying to replace the keys themselves. In many cases, your auto insurance will not cover the cost of lost keys, and even when it does, it often doesn’t make financial sense to file a claim if your deductible is higher than the replacement cost. In those situations, it’s usually smarter to pay for new keys out of your own pocket.

Key Takeaways

1. Standard auto insurance usually does not pay for keys that are simply lost or misplaced, unless you have specific key replacement coverage.
2. Keys and fobs are often covered when they’re damaged or stolen as part of a comprehensive claim (fire, theft, vandalism, flood, etc.), but your deductible still applies.
3. Replacing modern transponder keys and smart fobs can cost hundreds of dollars, and losing every key to your vehicle can push total costs above $1,000.
4. A key replacement rider or enhanced roadside assistance can be worth it for vehicles with expensive keys—just weigh the extra premium against the likely out-of-pocket cost if you lose them.

When Does Auto Insurance Cover Lost or Damaged Keys?

Whether your keys are covered depends on how they were lost or damaged. If your keys are damaged or destroyed as part of a covered loss, they’re often included in the claim just like any other part of the vehicle.

For example, if your keys are ruined in a vehicle fire, stolen during a covered theft, or damaged in a flood or hailstorm, your comprehensive coverage can pay to repair or replace the vehicle—and that can include damaged keys and remotes.

In these situations, the keys are part of the overall claim, and you’ll typically pay just your comprehensive or collision deductible once, not a separate deductible for the keys. If the loss is serious (like a stolen or badly damaged vehicle), it usually makes sense to file a claim, and key replacement is simply another covered item.

But if you simply misplace your keys or drop them down a storm drain, that’s usually treated as a normal “loss” or wear-and-tear issue—not a covered peril. In those cases, most standard auto policies will not pay for replacement unless you have specific key coverage added.

The Cost of Replacing Modern Car Keys

The cost of replacing a set of car keys varies widely based on your vehicle and key type:

• Traditional metal key: Often $5–$25 at a hardware store or locksmith.
• Transponder key (chip key): Typically $75–$200 for the key and programming.
• Key fob or smart key for push-button start: Often $200–$400+ for many mid-range vehicles.
• High-end/luxury smart keys: Can easily reach $400–$600 or more, especially when dealer-only programming is required.

In addition to the key or fob itself, you may have to pay labor for programming. For laser-cut keys and advanced smart keys, this usually must be done by a qualified locksmith or dealership, often at $75–$150+ per hour.

All in, it’s common for a modern key replacement to cost a couple hundred dollars or more. That’s why it rarely makes sense to file a comprehensive claim just for lost keys if your deductible is $500 or $1,000—you’d be paying the full cost anyway and still creating a claim on your record.

What If You Lose All Your Keys?

Losing one key is annoying. Losing all of your keys can be a much bigger (and more expensive) problem.

If every key is lost or stolen, a locksmith or dealer may need to:

• Reprogram the vehicle’s computer to accept new keys
• Disable old keys so they can’t be used to steal the car
• In some cases, replace door locks, the ignition cylinder, or other hardware

The cost of replacing all locks and programming new keys can easily exceed $1,000 for some vehicles. Depending on your car and where you live, you may also need to have your vehicle towed to the dealer—sometimes on a flatbed—if a mobile locksmith can’t handle everything onsite.

Because the cost can climb so quickly, losing all your keys is one of the rare situations where it might be worth exploring whether your insurance could step in—especially if the loss is tied to theft, vandalism, or another covered event.

Coverage for Lost Keys Differs by Provider and Policy

Comprehensive auto insurance policies are not all identical. Some insurers include limited key coverage automatically; others offer it as an optional add-on; and some provide no key coverage at all unless the keys were damaged as part of another covered loss.

Because of this, you should never assume your policy will pay for lost or stolen keys. Instead:

• Review your policy declarations and endorsements.
• Look for key replacement, key protection, or lock-and-key coverage.
• Call your insurer or agent and ask whether lost keys are covered and under what circumstances.

If your policy doesn’t include any key benefits, your reimbursement (if any) could be limited to whatever coverage applies to the underlying loss (like a theft claim) or to a lock re-keying benefit in your roadside assistance package.

An insurer that refuses to offer any meaningful help with key-related costs might not be the best fit if you’re worried about this type of expense. You can always shop around and get quotes from other companies that are willing to include at least partial key coverage or locksmith services. Many providers will at least send an automotive locksmith to help you get back into your vehicle or deliver a spare key, even if they don’t pay for a brand-new fob.

Lost Keys When the Vehicle Is Stolen

If your vehicle is stolen and your keys were left inside—or used to steal the car—your comprehensive coverage will typically handle the situation as part of the overall theft claim, not as a separate key claim.

As long as the combined cost of repairing damage and re-keying/reprogramming the vehicle is less than the car’s Actual Cash Value (ACV), the insurer will usually pay those costs, minus your deductible. If the car is never recovered or is totaled, the cost of the keys and fobs is generally included in the settlement amount.

Keep in mind:

• You’ll still be responsible for your deductible.
• A theft claim may impact your future premiums.
• Insurers may ask detailed questions about how the keys were stored and whether negligence was involved.

The better your overall profile—paying your premium on time, avoiding accidents, and maintaining a clean record—the easier it is to find comprehensive coverage that handles key-related costs without breaking the bank.

Should You Add Key Replacement Coverage?

If your current auto insurance doesn’t help pay for lost or stolen keys, your insurer may offer a key replacement rider (sometimes packaged with roadside assistance or “added protection” benefits). This rider usually increases your premium slightly but can save you money if you ever misplace your keys or have them stolen.

When deciding whether it’s worth it, consider:

• The cost to replace your specific keys or fobs
• How often you’ve lost keys in the past (be honest!)
• The additional monthly or annual premium for the rider
• Any limits, deductibles, or number-of-claims caps on the benefit

If you drive a vehicle with simple, inexpensive keys, paying extra for key coverage probably doesn’t make sense. But if you own a newer car with advanced smart keys that could cost hundreds of dollars to replace, a modest key replacement rider might be a smart hedge against future frustration and expense.

FAQs

Final Word

Auto insurance is designed to protect you from major, unexpected losses—not everyday mishaps like misplaced keys. While your policy may help if keys are damaged or stolen as part of a larger comprehensive claim, simple lost keys are usually your responsibility unless you’ve added specific key replacement coverage.

If your car uses expensive smart keys or keyless entry systems, take a few minutes to review your policy and see what’s covered. Adding a key replacement rider or enhancing your roadside assistance could be a smart move—especially if losing your keys is more “when” than “if.”