We all know we need auto insurance, but finding the right coverage can seem like a daunting task. With mascots and spokespeople ranging from reptiles to the quirky girl next door all promising low prices and great coverage, many consumers don’t know where to begin.
The first step in choosing the right coverage is to understand auto insurance. It’s easy to get lost in terminology, but here is a handy guide to understanding the main coverage options for injuries and property damage.
Understanding Injury Coverage:
- Bodily Injury Liability Insurance – Imagine you are driving, get momentarily distracted and “bam!” – you collide with another vehicle. Bodily injury liability coverage covers the injuries your passengers and the people in the other vehicle may experience. This coverage pays their medical expenses, lost wages, and pain and suffering, as well as your legal expenses if they file a lawsuit against you.
- Personal Injury Protection – While bodily injury liability coverage covers everyone else who may be injured in an accident, it doesn’t cover you! Personal injury protection is the key to covering your medical bills if you were to cause an accident. It’s optional in many states, including California, but without it you will have to rely on your health insurance.
- Uninsured and Underinsured Motorist Coverage – Now imagine being the car that was hit. If the driver is not insured or has minimal coverage, you could face a pile of medical bills. Uninsured and underinsured motorist coverage protects you against that exact scenario. In many cases, it will also cover you in a hit-and-run scenario.
Understanding Property Coverage:
- Property Damage Liability Insurance – Similar to bodily injury liability insurance, property damage liability insurance covers the property damage you may cause in an accident. Whether it’s another vehicle that you hit or a mailbox, property damage liability covers damage to any property other than your own vehicle.
- Collision Coverage – This is the coverage you depend on for damages to your own vehicle if you were at-fault in a collision. Depending on your vehicle, you may decide not to carry this coverage.
- Comprehensive Coverage – If you’ve ever driven in a hailstorm or parked under a tree on a stormy night, you know that there are lots of ways for your vehicle to get damaged without experiencing a collision. Comprehensive collision protects your vehicle in those circumstances, including fire, theft, vandalism, and storms.
The requirements for auto insurance vary by state, and the right coverage varies by the needs of each individual. Most insurance companies also offer a range of additional coverage to add to your policy. Let us help you determine what type of coverage fits with your individual needs and lifestyle. You can call us directly at (877) 215-5431 or Email Us for more information.
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