1. What are the benefits of purchasing different types of auto insurance coverage?
Auto Insurance Coverage Overview
Auto insurance coverage is a broad personal insurance product that protects a car owner against losses associated with owning and operating a vehicle. It is a contract between you and the insurer that wants to provide financial protection in the case of an accident, theft or other covered event. Here is a brief overview of the different types of coverage offered in an auto insurance policy.
Bodily Injury Liability Coverage
Bodily injury liability coverage is required in almost all states. It pays for injuries someone else sustains in an accident that you are at fault for. This coverage could also help if you are sued for the person’s injury or damages.
Property Damage Liability Coverage
Property damage liability coverage pays for damage you cause to someone else’s property in an accident. Typical property damage includes physical damage to another vehicle, but can also include fence and building damage.
Medical Payments Coverage
Medical payments coverage may help pay for medical expenses if you, your passengers, or family members are injured in an auto accident. This coverage can be beneficial in no-fault states as it will help cover medical bills even if you are not at fault for an accident.
Uninsured/Underinsured Motorist Coverage
Uninsured/underinsured motorist coverage protects you if you are hit by a driver with no auto insurance or not enough insurance to cover the damages. It is important to purchase this coverage to guard yourself in the case of an accident.
Collision Coverage
Collision coverage helps pay for damage to your vehicle if you are in an at-fault accident. It pays for repairs to your car, even if the other party involved is not insured.
Comprehensive Coverage
Comprehensive coverage helps pay for damages to your vehicle that are not caused by an accident. This type of coverage often pays for damages from weather, floods, fire, theft, and animalscolliding with your car.
Roadside Assistance & Towing
Roadside assistance and towing coverage provides services such as jump-starts, towing, flat tire assistance, and fuel delivery. This coverage can help you get your vehicle back and running if you were to experience a roadside emergency.
Auto insurance coverage comes in many shapes and sizes. Knowing what type of coverage you need and tailoring your policy to best fit your individual needs is essential. Be sure to speak with an agent to learn more and get the coverage that’s right for you.