Car Insurance What Is Liability And Collision Insurance?
You know full well that its the law, but youve been driving around without car insurance for a while now. Why? Car insurance is of supreme importance to any driver, no matter how good you think you are. Accidents happen, plain and simple, and you need to be protected in case it does. Not all car insurance is the same, though, and you may be a little confused as to the concepts.
The first term you need to know is liability car insurance. This covers you from claims arising from an accident where theres bodily damage or damage to property. Generally, there are three main sections of any liability car insurance policy: bodily injury liability coverage, liability coverage for damage to property, and uninsured coverage. The first type of coverage protects you in the case of an accident, for which you are at fault, and others have been injured. Your liability car insurance company will pay any legitimate claims for medical expenses or lost wages. If youve run into someones wall, or the side of their house, youll need liability insurance for property damage, which will pay for repairs. In the instance where you are not necessarily at fault and the other driver does not have liability car insurance, you are protected by uninsured, or under-insured, motorist coverage.
Liability car insurance is not the same as collision car insurance. As you can see, nothing was mentioned about fixing your car in the above description. Thats because its not covered under a simple liability car insurance policy. Youll need collision car insurance, unless youre willing to pay out of your own pocket. Collision car insurance covers repairs to your car in the case of, you guessed it, a collision with another object. If youre one of those people who gets their kicks by running over poor, defenseless animals, this coverage isnt for you. Youll need comprehensive car insurance to fix that cracked headlight.
Generally, you can choose youre deductible rate, i.e., the amount that your car insurance company will pay out to repair your car. Typically, the higher the deductible, the lower the car insurance premium. You will definitely need collision car insurance if you are leasing a vehicle, if you own a fairly new car or if you are making payments to a finance company. Owners of much older cars may want to skip this form of car insurance altogether. If your car is totaled, the car insurance company will pay you that market value of your car, minus the value of your deductible. If you are able to absorb the cost of replacing your car yourself, you may want to forgo this.
Car Insurance Protect Your Second Wife!
Auto insurance in general, which includes car insurance is an insurance consumers can purchase for cars, trucks, and other vehicles. Its mainly meant to provide protection against losses incurred as a result of car accidents and also thefts of vehicle. It also includes losses arising due to natural calamities. To have your car insured is mandatory by law. When you insure you get a “policy” which is based on a variety of factors including the type of car you drive, as well as what kind of insurance you want, as these policies are actually a package of different types of insurance coverage. They can be classified as:
Liability – This coverage pays for accidental physical injury of the body and damage to others property. Injury damages include medical expenses, pain or suffering and lost wages. Property damage includes damages to the automobile. This coverage also pays for defense and court costs. State laws fix how much liability coverage you must purchase, but you can also get more coverage if you wish.
Collision – This insurance pays for damages to your vehicle caused by collision with another vehicle or object.
Comprehensive – This coverage pays for losses or damages to the insured vehicle that doesn’t occur in an auto accident. The possible types of damages comprehensive insurance covers include loss caused by fire, wind, hail, flood, vandalism or theft.
Medical Coverage – Pays medical expenses regardless of whose fault it was as long as the expenses are caused by an auto accident.
PIP – Personal Injury Protection (PIP) – This coverage pays medical expenses for the insured driver, regardless of whose fault it was, for treatment due to injuries arising in an auto accident.
Uninsured Motorist – Pays for your car’s damages when an auto accident is caused by another driver who doesn’t have liability insurance.
Underinsured Motorist Pays for your car’s damages when an auto accident is caused by someone who has insufficient liability insurance to settle all your claims.
Rental Reimbursement – This type of insurance will pay for a rental car if your rented car is damaged due to an auto accident. Often this coverage has a daily allowance to be paid for at the time of renting a car.
Certain insurance policies club together a number of these types of coverage. Depending on the laws that exist in your state you have to choose the insurance you want for your car. Even though the state may not require extensive insurance, extra coverage may be worth the expense as it is possible that you may be straddled with thousands of pounds because of an auto accident.
Car Insurance Be assured for a safe drive
Shopping for car insurance is the only way to save on the car insurance. Car Insurance is the perfect solution for your problem on car theft, accidents etc. People are quite dependent on their vehicles and losing a vehicle by an accident or theft will be a financial loss. Moreover it will affect our day to day activities like office, school, doctor’s appointment etc.
Benefits of Car Insurance Policy
Some insurance policies offer number of standard benefits, while other benefits are available as optional covers in return for an extra premium. Some of the more common Car insurance policy benefits are:
Windscreen
Driving other cars
Medical expenses
Personal effects
New car benefits
Lock replacement
Many auto insurance agencies offers you benefits like less premium, 70% discount on first-rate service (if our recommended garages have not repaired your car), free car servicing (if your car has been repaired by one of our recommended garages). They also provide you additional services like breakdown assistance and motoring protection at minimal price. A car insurance agency controls your car insurance policy from beginning to end.
Nowadays its easy to buy your auto insurance online. Online auto insurance is the best option if you want to save your money and time.
Additional Car Insurance policy services include
Motoring protection
This service pays for personal injuries that you have sustained from the accident and also we pay for injuries that others might have sustained. This service also covers for any kind of property loss. This service also handles any legal technicalities.
Breakdown assistance
This services provides assistance incase your car breakdown and more often than not at a worst possible time. Complete details of these services are available when you get your car insurance quote or renew your policy online.
