When you’re looking to buy auto insurance in Burlington, the different varieties of insurance available can be rather confusing. So much insurance jargon gets thrown around that it’s difficult to know if you’re getting the right deal or not.
Learning a little bit about car insurance and the different types of coverage will allow you to make the best auto insurance decisions possible. One of the most commonly purchased auto insurance policies is comprehensive cover.
There are a variety of car insurance policies and levels of coverage to choose from. Here are some of the most common types of auto insurance policies to help you pick the best auto insurance policy possible:
Types of Car Insurance Coverage
There are a variety of car insurance coverage levels, and legal insurance requirements depend on the state you live in. Below are some of the types of car insurance coverage most commonly sold in the US:
Make sure you check the fine print of your policy to ensure numerous possible scenarios are covered. There’s no point in purchasing comprehensive coverage at a higher cost than liability insurance if all it covers is some vandalism or a cracked windshield. Comprehensive should mean comprehensive.
Liability coverage – covers property damage and injuries to others caused by your car when an accident was your fault.
Medical coverage – covers medical expenses for injuries sustained to you or your passengers during an accident.
Your insurer should payout whether the accident is your fault, or somebody else’s.
Personal Injury Protection – protects you in case of injury to your person during an accident.
- Medical, Personal Injury Protection and No Fault Cover
Under-insured motorist coverage – helps with expenses if you are involved in an accident with someone who doesn’t have a sufficient level of insurance to cover the damage caused to your vehicle.
Rental reimbursement – pays for a rental car if your vehicle is off the road.
This might be offered as a policy extra that protects you in case of a collision or accident involving an under-insured or uninsured driver. Your insurance company will pay out a sum of money to cover damages and will attempt to recuperate their losses from the at-fault party through other means.
- Rental Reimbursement, Towing and Labor
These are useful added extras that are usually included with comprehensive insurance policies. Many insurers will provide towing and labor services built in to your policy, as well as paying the cost of hiring a rental car during the period that your car is off the road in the event of an accident.
When considering your deductible, remember that the top amount comprehensive car insurance coverage pays out in the event of a serious accident or damage is the total, current cash value of your car. Therefore, if your vehicle’s cash value is a similar amount to your insurance deductible (your car may be old or worn out), comprehensive coverage might not be the best auto insurance policy for you.
If you plan on having a full comprehensive car insurance policy that covers you for almost any eventuality, then comprehensive coverage is important for instances when damage is caused to your vehicle by other people, animals, weather or freak accidents.