Photo: Photo / 123RF
If you've broken or lost a car key recently, you might be familiar with the scenario.
How much can it cost to replace, you might think to yourself. It's only a car key. Turns out, it can cost a lot.
How much?
An informal survey showed people were being quoted more than $700 to replace a Volvo key, more than $600 for a VW, $680 for a replacement for a Toyota Corolla and $400 for a Fiat Punto.
AA principal policy adviser Terry Collins said the cost could vary a lot.
"Factory ones are usually expensive. My old 2017 CX 3 was about $600 for a factory replacement, but I found a locksmith who I took the car to and he did the replacement and programming for around $250. That was four years ago.
"If you have a key and they can programme a second, then it's cheaper. If you lose the key, then the factory replacement is the dearest option."
Why are they expensive?
The Motor Industry Association said it was because modern key fobs were "packed full of micro technology", which comes at a cost.
"These include RFID, Bluetooth and near-field communication. Most operate with a complicated rolling code CPU to minimise the risk of cloning and provide enhanced levels of vehicle security," a spokesperson said.
"These fobs combine central locking actions along with the keyless entry technology - hands free proximity unlock - with engine start detection combinations. There is a lot going on inside the key fob, even though it is a small, seemingly innocuous device.
"Some are VIN (vehicle identification number) written to individual vehicles by the manufacturer, while others must be introduced and coded with the vehicle. It is the high levels of security which adds significant cost to key fobs."
What about insurance?
With such an expensive replacement looming, you might wonder about claiming on insurance.
Consumer NZ insurance specialist Rebecca Styles said of nine insurers' comprehensive car insurance she looked at, only one would not cover keys or locks.
"Some insurers say they'll cover 'reasonable costs', while others cap cover at around $1000 (excess-free). It's generally only available for comprehensive cover."
State, for example, said a claim under $500 would attract no excess but a claim above that would. Depending on your policy and the cost of the key, you might have to weigh up whether it's worth making the claim at all.
If you only have third-party insurance, you are likely to be out of luck.
Spokespeople for Financial Services Complaints Ltd (FSCL) and the Insurance and Financial Ombudsman Scheme (IFSO) said they had not received complaints about key cover.
"We can only look at complaints about whether an insurer has complied with the terms of a contract, not about what the terms of the contract are," IFSO said. "I imagine there will be many people who won't be aware that they might not be fully covered."
In the UK, a recent review of insurance found 32 percent of comprehensive policies would not cover a replacement key.
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