Legal Question in Insurance Law in North Carolina

Re: Stolen car.

If you are otherwise entitled to your money (i.e. if the loss is covered; i.e. if you have the type of insurance covering theft), then the fact that you were negligent is irrelevant. This is "first party" coverage, and your negligence does not bar your recovery. Similarly, if you house burns down due to your negligence, you are still covered. Of course, if you "steal" your own car, or commit fraud, that is not covered. Also, there are some situations where you have a duty to mitigate your losses. In the case of a stolen car, however, absent fraud, the loss should be covered (assuming you have the appropriate type of coverage).