Types of Auto Insurance Coverage Richmond VA

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A question you might ask yourself is: why must we carry auto insurance? Hopefully one answer you should hear is to protect yourself and your car. For those same reasons the government also requires you to have car insurance.

Auto insurance is at its heart financial protection. You purchase insurance in order to prevent paying thousands of dollars in the event of a collision or other loss. Many different types of insurance are available, covering almost every conceivable means of loss or damage to your vehicle as well as others to which you may cause damage. Very few drivers need to purchase every single type of insurance, so it is helpful to understand each type in order to decide which ones you require.

Property Damage Depending on jurisdiction, property damage insurance may also be called liability insurance or similar. This insurance covers damage that your vehicle may cause to someone else's vehicle.

Each state sets its own minimum requirement for how much property damage insurance you must carry, but the state minimum may not be enough in the event of an accident. If you cause damage that exceeds the limits of your insurance you may be sued for the difference. Always purchase as much property damage insurance as you can comfortably afford.

Personal Injury This type of auto insurance is also generally required by law. Personal injury insurance pays a portion (usually 80 percent) of your medical bills and a different portion (often 60 percent) of your lost wages if you are injured in an accident.

A small death benefit is often attached in case you are killed in the accident. This protection might extend to relatives, household members or even anyone who happens to be in the car, depending on state requirements and the individual insurance company's policies.

To read the full article, visit Myhonestmechanic.com