What to Ask Your Agent before Buying Auto Insurance

Auto insurance coverage is required by every state and is also regulated individually by each state. Certain minimum amounts of auto coverage are necessary, depending on the state jurisdiction as well. According to carautoinsurancequotes2013, thttp://www.cartool

ttt here are two main types of auto insurance coverage. They are liability insurance and full auto insurance coverage. It’s helpful and important to know the differences.

Auto Insurance

Liability Insurance

All of the insurance companies that offer auto insurance will tell you how important liability coverage is. This type of automotive coverage is required to protect the driver against personal injury as well as financial liability for damage to property. There are different amounts of personal thresholds of liability auto insurance coverage that’s required across the country.

In some states, an auto coverage policy consisting of $25,000 of bodily injury protection is adequate, whiles in other states a $50,000 policy or above is the mandatory financial minimum. If a driver or passenger gets injured in an accident with another car, a pedestrian, or by hitting into property, the insurance company will pay out a set initial amount of coverage. This coverage also covers injury to a driver or passenger of another car in the event of an accident.

If, for example, the driver incurs $100,000 worth of injury associated costs with hospitalization and other pertinent medical injury care, and the insured only has a $25,000 liability policy, that means that the insurance company is only required to pay the first $25,000 of that $100,000 injury. Since medical costs are expensive, that’s why it’s wise for many people to apply and secure more than the mandatory minimum of amounts of insurance coverage.

The premium and deductibles of this type of automotive coverage differ depending on both the state rates and the individual insurance company doing the actual insuring. But to keep costs down on a driver’s premiums, one way to be smart is to get a higher deductible. Many drivers across the country only drive with liability coverage.

Full Coverage

Another term for full coverage is comprehensive and collision auto insurance. Comprehensive covers not only what liability insurance does, but much more. It covers the damage that could happen to a vehicle from theft, vandalism damage, fire, explosion, as well as the body damage done to your car in an accident with either another car or truck, with a pedestrian, or with property, such as a tree or building.

Full auto insurance coverage is much more expensive than liability, since it covers so much more. Many drivers opt for full coverage when they have an expensive car that’s prone to theft and is also going to be quite costly to repair should it get into an accident. Some drivers just feel safer and more comfortable with having themselves and their vehicle fully insured with this type of coverage. For more to know about Insurance can be your right choice.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s