Different Types of Auto Insurance Coverage

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There are different types of coverage that auto insurance has for your protection. Here are the different types of coverage that an auto insurance company may provide for you.

Collision Coverage

This coverage pays for your damages done to your vehicle, because of an accident. It pays for the replacement or the repair up to the Actual Cash Value of your vehicle.

Comprehensive Coverage

This coverage pays you for the losses that you incur due to theft, storm, fire, storm, vandalism, falling objects, earthquake, explosions etc. However, this coverage does not take care of the damage done to your car due to collision.

Deductible

This is the cover for the sum you are willing to pay of a loss.

Bodily Injury

This coverage pays for any injury that you cause others due to your negligence in driving.

Property Damage

This coverage takes care of the loss of others property by you while driving.

Medical Coverage

This coverage takes care of all the medical expenses be it you or any one else in case of injury by the vehicle. This policy covers protection for you, your family, and the passenger. It pays for the expenses for the necessary treatment for the injury during accident, irrespective of who is at fault. That is inclusive of the treatment, the fees for X-ray, fee for the physician, charges for surgery, for ambulance, hospital charges, and funeral expense too.

Personal Injury Coverage

This coverage provides for a broad variety of all medical expenditures in a no-fault situation. This coverage looks after the much-needed expenses of the insured person, during the time of an accident. However, this coverage too varies from company to company and state to state. A typical example of this coverage is hospital and medical expense, loss of services, continuation of income, expenses for childcare due to accident.

This again does not depend who is at fault. Moreover, this coverage is available in certain states; therefore, it is advisable you check out with your state insurance department.

Uninsured or Underinsured Motorist Coverage

This Coverage protects in cases when the driver is uninsured or underinsured. This policy will cover for the insured family members and passengers too, for all bodily injury as a result accident by an underinsured or an uninsured driver.

There is a coverage, which relates to underinsured or uninsured driving, that is the cover for property damage. However, you will have to check in your state if this is applicable. This coverage will bear the expenses of the property loss due to the accident caused by underinsured or uninsured driver.

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