Insurance Coverage For Our Family

Insurance Coverage for Our Family

Choosing What Type Of Car Insurance Coverage Is Right For You

Christian Byrd

When purchasing a new car insurance policy, you will find that several different types of coverage can be included in or excluded from your policy. Understanding these different types of coverage is the first step to determining what type of coverage is right for you. You can learn more about several of the most common types of auto insurance coverage below.

Liability Coverage

Currently, the law requires all drivers to carry liability insurance. This type of car insurance coverage is designed to protect other drivers on the road if you ever cause an accident. This coverage pays for any damage that is done to the other driver's vehicle and any medical bills that the other driver incurs as a result of the accident. 

Collision Coverage

Collision coverage also offers protection if you cause an accident. However, unlike liability insurance which provides coverage for the other driver's vehicle, collision coverage pays for the damage that is done to your vehicle. You are not required by law to carry collision coverage, however, if your vehicle is being financed, your lender may require you to maintain this type of coverage. 

Comprehensive Coverage

Comprehensive car insurance coverage applies to vehicle damage that occurs outside of an auto accident. For example, weather-related damage is often covered under your comprehensive insurance coverage. Some comprehensive policies will also include theft and auto glass coverage. Again, this type of coverage is optional under the law but is required by some lenders when financing your vehicle. 

Uninsured Motorist Coverage

While all drivers are supposed to maintain valid auto insurance coverage, some people do not abide by the law. If you are hit by a driver with no insurance, uninsured motorist coverage pays for the damage that is done to your vehicle and any medical expenses you may incur. In the absence of this type of coverage, you could find yourself paying for these expenses out of your pocket or needing to file a lawsuit against the uninsured driver in civil court. 

Underinsured Motorist Coverage

Even if the other driver has insurance coverage, there is no guarantee that they will have enough coverage to pay for all of the expenses resulting from your accident. This is especially true if you have an expensive vehicle or if you suffer severe injuries. In this case, underinsured motorist coverage can help to pay any additional expenses that are not covered by the other driver's car insurance policy. 

For more info, contact a local company like ABC Insurance.


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About Me
Insurance Coverage For Our Family

After we had kids, we realized that we needed to up the ante on our insurance coverage. While we had a policy in place, I knew that we had to do something to make sure that we were protected in any instance, which wasn't the case at the time. I began talking with different brokers about what we could do to improve our coverage, and they had some really great suggestions that seemed to help. This website is here to help other people to know how to purchase insurance, and what kinds of policies would work best for your special family.