Car Insurance The Super Six

Monday, January 7, 2013

Car Insurance The Super Six

A basic auto insurance policy normally includes six types of auto insurance coverage. This ensures that every driver has the broadest protection possible to cover the most common events for which they would file a claim.

 1. Property Damage Liability

 In most states, this coverage is mandatory. It pays for damages to another vehicle in case of an accident where you have been found legally responsible. It's important to have adequate property damage liability coverage, considering that many vehicles have expensive price tags, and you may not know the extent of damages you could cause to public or private properties.

 2. Bodily Injury Liability

 Bodily injury liability is an essential coverage as it pays for damages caused by injury or death for an accident where you are legally responsible. It primarily covers medical expenses, but you can also use it to cover costs associated with your legal defense. Legal representation and medical care are undoubtedly costly, so having this coverage is a must.

 3. Medical Payment

 When an accident occurs, this coverage pays for medical expenses that you and your passengers incur, whether you're at fault or not. Many states with a no-fault law do not obligate car owners to have this coverage since the no-fault coverage usually pays for medical expenses and lost wages as well.

 4. Uninsured Motorist Coverage

 There are many uninsured drivers who are involved in accidents. Even though most states legally require drivers to have auto insurance, there are still numerous people who drive on the road without any coverage. In the event you have an accident with an uninsured driver, the uninsured motorist coverage will protect you and your passengers. It covers medical expenses, and in some states, vehicle damage as well.

 5. Collision Coverage

 Collision coverage handles damages to your vehicle as a result of collision. It's typically required if you have a loan on the car. Remember to consider the real value of your car when getting this coverage. If you have an older or used vehicle, collision coverage may not be necessary.

6. Comprehensive Coverage

 This coverage pays for collision damage and other types of damages from collisions with animals, theft, vandalism, acts of nature and fire. These damages are subject to a deductible. Similarly to collision coverage, most lenders may require this type of coverage if your vehicle has a loan.

 As with any insurance policy, it's important to choose the best provider that offers a competitively priced policy which covers all of your specific requirements. Review various car insurance companies and know the average rates in your state. It's easy to find and compare auto insurance companies online. You can get a free auto insurance quote from them.

 Having an adequate insurance coverage is crucial, especially because accidents occur at the most unexpected moments and places. An unprecedented event can devastate you and your family. Be sure to consider your options carefully when choosing insurance not only to guarantee that you are sufficiently insured, but that you are also not paying for more than what you need.

About the author -

 Richard Ackerman has extensive knowledge of car insurance having worked as an insurance consultant for 20 years. He writes on the subject for a variety of car blogs online.

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