Types of Car Insurance

인천운전연수 Insurance that covers bodily injury, property damage and medical expenses caused by an accident you cause. Some states require that drivers carry a minimum amount of liability coverage.

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Your car, driving history and budget will determine the types of coverage you need. You may also want to consider a usage-based policy that takes your actual driving habits into account.

Comprehensive Coverage

Comprehensive coverage, sometimes called other than collision insurance or property damage insurance, is a type of car insurance that helps pay for damages to your vehicle caused by non-collision incidents. It covers things like hitting an animal, hail, fire or theft (up to your selected limit and minus your deductible). Most lenders require comprehensive coverage for vehicles being leased or financed. It’s also often recommended for classic cars.

The cost of comprehensive can vary by driver, state and insurer. Some factors that influence premiums include: your driving record, the make and model of your car, and where you live. You can decide whether this type of coverage is right for you by weighing the costs against your vehicle’s value and potential payouts. Some policies may also include Accidental Death and Dismemberment (AD&D) coverage, which pays, up to the policy limits, for medical expenses and funeral costs for you and your passengers regardless of who was at fault in an accident. This is an optional but potentially valuable add-on to your policy. It’s usually available as a standalone policy but can also be found in combination with other coverages such as liability and collision.

Collision Coverage

Collision coverage reimburses the insured for damage to their personal automobile from an accident where they are at fault. It is typically offered as an extension of the basic 인천운전연수 car insurance policy.

For instance, if your car is totaled after skidding on an icy road and hitting a guardrail, collision insurance should cover the repair or replacement cost. It should also pay for your rental car while your vehicle is being fixed or replaced. Usually, the maximum amount that collision insurance will pay is the actual cash value of your car less any deductible you choose to select.

Comprehensive coverage, on the other hand, covers your car for damage from non-collision events like theft, storms or hitting a deer. However, there is a deductible you must pay before the insurance company starts to make payments. This deductible may range from $100 to $2,000. Often, the higher the deductible you choose, the lower your premium will be. It’s important to weigh the tradeoffs between these two types of coverage when deciding whether or not to include this option in your policy.

Uninsured/Underinsured Motorist Coverage

Uninsured/underinsured motorist coverage (often shortened to UM or UIM) helps pay your damages when the other driver doesn’t have car insurance or doesn’t have enough car insurance. In some states, this is a mandatory part of your policy.

Uninsured motorist bodily injury (UMBI) covers your medical bills in an accident caused by an uninsured driver. It usually has a per-person and per-accident limit, just like liability insurance. Uninsured motorist property damage (UMPD) covers your vehicle repair or replacement costs when the other driver’s liability limits aren’t high enough to cover all your repairs.

UM/UIM car insurance is usually offered as an add-on to your liability insurance, but it’s a good idea for all drivers. It can help you save a lot of money in the long run, since it’s very affordable in comparison to other types of car insurance coverage. Coverage options, deductibles and discounts may vary by state. See your local agent for more details. 2019 Allstate Insurance Company. All rights reserved. 2019 Allstate Insurance Company, Allstate, and the Allstate logo are registered trademarks of Allstate Insurance Company.

Medical Payments Coverage

Medical payments coverage, also known as Med Pay, pays for the policyholder and passengers’ medical expenses after a car accident. It’s optional in most states but required in Maine and Pennsylvania. It’s often included in a combined no-fault/PIP policy and can help fill the gap between auto insurance and health care. Med Pay may even be used to pay for health insurance deductibles and copays once no-fault benefits are exhausted.

This type of coverage pays to cover medical bills and funeral costs for yourself and your passengers no matter who’s at fault for the accident. It can also pay for specific diagnostic services, like X-rays or an ambulance ride, and treatment needed to heal from the injury, such as surgery and therapy.

Med Pay usually covers the policyholder, their family members driving their cars and their passengers, and may extend to people hit as pedestrians. However, it usually doesn’t cover people in other vehicles or those struck while on a bicycle. It also typically doesn’t apply to rental car companies or for use of an Uber or Lyft vehicle.

Liability Coverage

In most states, this coverage pays for damages to others if you cause an accident. It also helps pay for their medical expenses, loss of income, and property damage. You can choose to get coverage limits of up to $250,000 per person, $500,000 per accident, or $1,000,000 total limit for bodily injury and property damage liability.

Some car insurance companies require you to keep all of your family members who are licensed drivers on the policy, even when they are away at school. This is to make sure that all family members have access to the same car insurance benefits.

Your location, driving record, and other factors play an important part in your rate and the types of coverage you get. Read your policy and talk to an agent for more information.