Car insurance coverage typically comes with quite a few options. At a minimum you need to have the following in our opinion.
Liability coverage
In the event of a car accident, if you are at fault, liability insurance will pay for fixing any damages to property and also bills. This may include car damages and medical bills for the other party. Liability insurance is typically required in every state in United States. The liability coverage is typically written as three numbers like 25/50/25. If you carry such an insurance policy, this means that you have maximum coverage in the amount of $25,000 for bodily injury damage per person, maximum insurance of $50,000 for bodily injury damage per accident and coverage of $25,000 for property damage per accident.
We have more information on the topic here:
Collision insurance
Collision insurance is part of the auto policy you need to repair your automobile. This is assuming you were at fault. If it happens to be the other party, then their Car insurance company will cover the damages. If you have an older vehicle, it does not have makes sense to have collision insurance. Collision car insurance typically carries a deductible. A deductible generally ranges from $250 to $1000. So if you have a deductible of $500 and damages to your automobile is let’s say $2500. This translates into this amount of collision car coverage by your friends at Geico.
$2500 – $500 = $1000
Comprehensive coverage
While collision protection covers repairs to your automobile, if it will not tackle issues like hail damage, stolen automobile, deer in the headlights, cracks on your windshield, etc. This is where comprehensive coverage comes into play. A comprehensive insurance also has a deductible which typically $500 still applies in this scenario just like the collision coverage.
Uninsured motorist protection
The state law states that everyone should have some form auto liability protection, although in the real world that is not always the case. Having uninsured auto protection can be a lifesaver because it will cover you even if the responsible party is unable or unwilling to pay for your damages.
Addition options for Car insurance coverage
Other optional coverage that you can think about include the following:
- Towing service: if your car breaks down, this car coverage pays for the cost of towing your vehicle to a garage.
- Auto glass insurance: This insurance coverage is useful for any repair and damage to the windshield or any of the windows.
- Roadside assistance: This option for the car coverage is useful if you are stuck on the road. It could be a dead battery or a flat tire so this auto policy option can come in handy in those situations.
