Whether you’re driving a brand new car or a clunker that you have had for years, auto insurance is necessary. It might sound like a pain, but whenever you’re driving, you should be covered — not only just for your own vehicle, but for all the cars around you should you get into an accident. You won’t regret purchasing adequate insurance when you get into a crash that is your fault. When you don’t have to worry about the money, finding the right kind of insurance will provide peace of mind. Below are five types of auto insurance to look into.
Liability
The most basic automobile coverage is liability insurance. While liability comes in two kinds—bodily injury and property damage—both can protect you when you get in an accident. However, both are inadequate compared to other types of coverage. Liability coverage is required in 48 states, with New Hampshire and Virginia as the outliers. Injury liability and property damage cover medical expenses and the damages to the vehicle of the person you hit, but it doesn’t cover your own damages to your car and body. While liability auto insurance may help you pay for legal fees, you will be on your own to pay for your car and medical bills.
Collision
On the other hand, collision coverage will pay for your car up to the current market value if it gets totaled in an accident. This insurance is applicable when you hit another car or a stationary object and cause damage to your vehicle. This type of insurance is typically required if you are paying an auto lease or another type of loan, and the value of the car can also help you determine if collision coverage is the right option for you. It is particularly useful when you have recently bought a new vehicle.
Comprehensive
A third type of automobile insurance is comprehensive, meaning it covers specific types of damage not caused by an accident. This includes weather, falling objects, vandalism, theft, and more. When you pay for comprehensive insurance, the company will reimburse you for up to the cash value of the car, minus the deductible. Both lenders and leasing companies usually require this coverage if you have a lease or loan. No state currently requires their drivers to have this kind of coverage.
Full Glass Coverage
Full glass coverage is a policy offered by automobile insurance companies, covering windows, the windshield, and other glass by repairing or replacing the damaged glass. Glass repair may be included in your comprehensive policy, but it may also be an add-on. While glass coverage is optional, when you get into an accident, you will be pretty bummed if you don’t have it covered. Replacing glass can be quite expensive, the insurance to cover it can be a lot cheaper than paying for the glass later.
Personal Injury Protection (PIP)
Personal injury protection (PIP) may help pay for both your injuries and any passenger’s medical bills after an accident. Liability will only cover the other party’s injuries. You won’t be very happy when you’re injured after catching the other driver engaging in bad driving habits. PIP can be a more desirable option than taking the risk that you will have to pay for your medical bills when you’re already in pain from an injury.
Auto insurance comes in many forms. The bottom line is, the more coverage you have, the less you will worry. If you want your vehicle and medical bills to be covered should you get into an accident, it’s imperative to make sure you have the coverage for it. You can pay for liability and collision insurance, comprehensive insurance that covers incidents that aren’t car accidents, as well as other coverage like glass and personal injury.
While your auto insurance provider may offer a “full coverage” option, be sure to ask about all the details. Just because it is called full insurance coverage doesn’t mean something won’t slip through the cracks. It’s difficult to have everything covered when it comes to car accidents and broken parts, but if you do your best to find the best insurance coverage that will help you pay for the damages incurred you will have a better chance to avoid paying the bills yourself. So if you want to have peace of mind, be sure to do your research to find the perfect auto insurance for you and your family.
