1. What risks are covered by an original equipment manufacturer (OEM) under an auto insurance policy?
What is Original Equipment Manufacturer (OEM) Coverage in Auto Insurance?
Original Equipment Manufacturer (OEM) coverage is a type of auto insurance coverage that covers the cost of any repairs that may be necessary to keep a vehicle in the same condition as when it was originally manufactured. This coverage is designed to cover any damages or repairs that are necessary to maintain the quality, dependability and performance of a vehicle.
Benefits of OEM coverage
OEM Coverage provides a number of benefits when it comes to maintaining the condition of your vehicle:
- It helps to ensure your vehicle performs as expected. OEM coverage helps to ensure that any repairs that are necessary for your car are completed using the same parts and materials as those originally supplied by the manufacturer, so you know that your car will be running at optimum performance.
- It can save you money in the long run. By using OEM parts, you can be sure that any repairs completed will be done with quality parts that are designed to last. This can help you save on future costly repairs.
- It provides peace of mind. OEM coverage gives you the assurance that your vehicle will be reliably performing and at its best.
When should you consider OEM coverage?
If you drive a newer model vehicle, you should consider purchasing OEM coverage. This coverage is especially important if you plan to keep the vehicle for a long time, as a full coverage policy with OEM coverage will protect your vehicle in the event of an accident.
However, if you drive an older vehicle and only keep it for a short while, OEM coverage may not be necessary as it could be more cost effective to purchase a basic coverage policy.
Where to Get OEM Coverage
When looking for auto insurance, many insurance companies offer OEM coverage as part of their full coverage packages. You can contact your insurance agent to discuss what type of coverage is right for you and find out if OEM coverage is available through the policy you choose.
Conclusion
In conclusion, OEM coverage is a type of auto insurance coverage that helps ensure your vehicle is kept in the same condition as when it was originally manufactured. This coverage provides many benefits such as helping to maintain your vehicle’s performance and saving you money in the long run. It is especially important for people who drive newer model vehicles, as a full coverage policy with OEM coverage will ensure your vehicle is fully protected in the event of an accident.