Owning a car means taking on additional responsibility for repairs, damages, and other expenses. Auto insurance helps protect you from these financial burdens by providing coverage for various incidents that can occur with your vehicle. Different types of auto insurance are available depending on the protection you need.

With so many auto insurance options available, knowing what kind of coverage is appropriate is essential. Here are seven types of auto insurance that should be a part of any comprehensive car insurance policy.

 

Liability

An auto insurance liability policy covers you if you’re found to be at fault in an accident. It pays for damage caused to another person or property, including the other person’s car and medical bills. Your liability coverage should be high enough that it meets your state’s minimum requirements but also covers any potential damages you may encounter due to an accident.

If you’re found to be at fault for an accident, your liability coverage will also cover any legal fees associated with the incident. Thus, finding the right insurance policy with the right liability coverage is essential. You can find various insurance companies with affordable premiums. But if you’re unsure where to start, try getting Assurance auto insurance quotes first to see if a plan is feasible for you.

 

Collision

This coverage pays for damage to your car caused by a collision with another vehicle or an object. It covers the cost of repairs minus any deductible amount you’ve chosen.

Collision coverage typically applies even if you are at fault in the accident. It’s important to note that collision coverage won’t cover any medical costs associated with an accident. Thus, it’s best to get liability and collision insurance if you ever find yourself in a crash. Doing so will give you the best protection against any damages resulting from an accident.

If you get a good insurance policy with a low deductible, you can easily save yourself from paying out of pocket for repairs.

 

Comprehensive

Comprehensive auto insurance covers damage caused by events other than accidents or collisions. It includes theft, fire, and natural disasters such as floods and earthquakes. It will also cover any damages to your car caused by wildlife attacks.

Comprehensive coverage is not typically required by law, but it can be a wise decision if you live in an area where natural disasters are common. It will provide extra peace of mind and protection against potentially costly damages due to unexpected events.

 

Uninsured/Underinsured Motor

If you’re ever in an accident with someone who doesn’t have insurance or enough coverage, uninsured/underinsured motorist coverage will protect you. It covers any medical bills or damages to your car that the other driver cannot pay for due to their lack of coverage. This type of auto insurance can be highly beneficial if you’re ever in this situation.

You won’t have to worry about paying for damages out of your pocket, and it will help ensure you can get back on the road as soon as possible. Thus, get more than the minimum amount of coverage required by law. Consider getting a policy with uninsured/underinsured motorist coverage to give you extra protection that could come in handy down the road.

 

Rental Reimbursement

If you’re ever in an accident or other event and have to rent a car while yours is being repaired, this auto insurance coverage will cover those costs.

It’s important to understand that rental reimbursement coverage only covers the cost of renting a car, not other expenses such as fuel or insurance on the rented car itself. But having this type of insurance can be very helpful in situations where you need to rent a car for an extended period. It will help ensure that you don’t have to bear the financial burden of renting a car while you’re waiting for yours to be fixed.

 

Medical Payments

If you’re injured in an accident, regardless of who’s at fault, your medical payments coverage will help pay for any medical expenses incurred as a result. It includes hospital stays, doctor visits, and prescriptions not covered by health insurance.

If you don’t have health insurance or don’t have enough coverage, medical payments coverage can be a lifesaver. It will help ensure that you don’t have to spend an exorbitant amount of money on medical bills if you ever find yourself in an accident.

 

Bodily Injury

Bodily injury auto insurance coverage helps cover medical expenses associated with an accident. It includes the cost of treating any physical injuries you or your passengers may have sustained and funeral costs if someone is killed.

The total amount covered by this type of policy depends on the limits set in your policy. But it’s important to understand that this type of coverage only applies if someone other than the policyholder is injured in an accident.

 

Final Thoughts

By understanding what types of auto insurance coverage are available, you can ensure that you have the right policy for your situation. Getting the right amount of liability coverage and adding optional coverages will help provide the protection you need in case of an accident or other unexpected event. Thus, make sure to do your research and shop around for the most comprehensive policy that fits your needs and budget.