The 10 Types of Automobile Insurance Coverage
Choosing the right type of automobile insurance coverage can be a daunting task. It’s not as simple as getting coverage for your car or truck from one company and then forgetting about it until you need to make a claim. There are many different types of coverage available, so choosing the right one is crucial to having peace of mind on the road. In this article, we will discuss 10 types of automobile insurance coverage including collision, comprehensive, liability, and more!
Collision Coverage
This coverage is meant to provide funds in the event your vehicle gets damaged. Some policies will pay for damages when your car collides with another object, while others are only good if you hit a stationary object like a pole or telephone/electricity line. The latter can be known as “all perils” coverage and it’s important to make sure that you have this type of protection even though it typically costs more than collision insurance which covers other things besides collisions.
Comprehensive Coverage
-This coverage is designed to help with damages that are not the result of a collision, such as fire, theft, or vandalism. It can also provide protection for natural disasters like hurricanes and earthquakes.
Keep in mind that comprehensive typically does not cover damage caused by a collision with another object.
Liability Coverage
This coverage is one of the most important types of automobile insurance, as it can help protect you if you are responsible for an accident that injures or kills someone else. It will also cover damage to another person’s property in the event that you are at fault for an accident.
Uninsured/Underinsured Motorist Coverage
If you are in an accident with a driver who does not have insurance or has insufficient coverage to pay for the damages they caused and is underinsured, uninsured, and underinsured motorist coverage can help. This type of protection will cover your medical expenses as well as any lost wages due to injuries resulting from a car accident.
Medical Payments Coverage
This coverage will pay for the medical expenses of household members and other people riding in your car whether or not you are at fault. It also covers funeral expenses if someone is killed as a result of an accident that happened while they were in your vehicle.
Towing and Labor Coverage
This coverage can help pay for the costs of towing your car if it becomes inoperable as a result of an accident. It can also cover the cost of labor if you need someone to help you get your car started or moved after an accident.
Keep in mind that this coverage typically does not apply if your car is towed because you ran out of gas or locked yourself out!
Rental Car Coverage
If your car is being repaired after an accident and you need to rent a vehicle, this coverage can help pay for the costs. It can also provide reimbursement for the cost of a rental if your car is stolen or vandalized.
Note that most policies only cover up to a certain amount per day, so be sure to check with your insurance company before you rent a car!
Roadside Assistance Coverage
If your car breaks down on the side of the road, this coverage can provide assistance. It will typically cover towing as well as jump-starts and other minor repairs that do not require a technician.
Keep in mind that it usually only applies if you are stranded more than 100 miles from home!
Gap Coverage
This coverage is designed to cover the difference between what your car is worth and how much you owe on it if your vehicle gets totaled in an accident. It can also be used to help pay for a replacement rental car while yours is being repaired after an accident, but keep in mind that this type of protection typically only applies when your car has been stolen or vandalized.
Classic Car Coverage
If you have a classic car that is not regularly driven, this coverage can help protect it. It will typically cover damages to your car as well as losses resulting from things like theft or fire.
Note that most policies do not apply if you are driving the car on a regular basis!
Conclusion: There is no one size fits all policy when it comes to automobile insurance coverage so be sure to talk with an agent about what type of protection makes sense for you before making any decisions.
Choosing the right type of automobile insurance coverage can be a daunting task. It’s not as simple as getting coverage for your car or truck from one company and then forgetting about it until you need to make a claim. There are many different types of coverage available, so choosing the right one is crucial…