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Auto Insurance

Auto Insurance
Auto insurance is a basic type of insurance that all drivers are required to have in all 50 states. An auto policy can have several different coverages, but the basic types include liability, collision and comprehensive coverage.

All states require that drivers carry a minimum level of liability coverage as part of their auto policy. liability coverage is what covers a driver if that driver is involved in an at fault accident with someone else. For instance, if you rear end the driver in front of you, your liability insurance would pay for the damage to the other person’s vehicle. Liability would also cover the driver and passengers in the other vehicle if they sustained any injuries.

The next major component of an auto policy is collision coverage. This type of coverage pays for damage to your car if you are involved in an accident. Collision coverage has different deductible amounts that you can choose. You may wish to carry a 500 dollar deductible. This means that if you were in an accident, and you wanted to repair the vehicle using your policy, you would be responsible for the first 500 dollars of repairs. After that, the insurance company would pick the cost of the repair.

Another major type of coverage in an auto policy is comprehensive coverage. This coverage protects your vehicle against damage from a host of different causes. Damage from hail and storms is covered under comprehensive. Windshield repair and replacement is a comprehensive loss as is damage from a flying object. Comprehensive coverage also protects you if your vehicle is stolen or if your vehicle is vandalized.

Auto insurance protects you from a wide array of incidents that might involve you and your vehicle. It is a basic insurance that will be of great benefit should you be involved in an accident or if you experience another type of vehicle related loss. An auto policy will save many dollars in out of pocket expenses and give you peace of mind.

Exploring the Benefits of Car Insurance

What is this Coverage?
Good car insurance is really a no-brainer for most. At least, carrying a basic level of this kind of insurance is smart, not to mention mandated by law in all 50 states. Essentially, most drivers are legally obligated to carry a minimum level of liability coverage, which is what covers a driver if he or she is involved and at-fault in an accident with someone else. In addition to covering a certain amount of property damage, good liability coverage also protects the driver and passengers in the other vehicle if they sustain injuries.
Keep in mind that if you owe money to a lending institution for your car, then you will be obligated by them to carry some amount of comprehensive and collision coverage as well.

Why It’s Valuable
In addition to your state mandating that you carry some level of car insurance coverage, (made all the more compelling by the possibility of losing the privilege to drive without it), paying for costs associated with car accidents out-of-pocket can be a bank account breaking catastrophe.

Other Coverage Types
Other aspects of good car insurance coverage include the following: Collision is a type of coverage that pays out for damages to your car if you are involved in an accident. This type has different deductible amounts from which you can choose. Carrying a 500-dollar deductible means, should you have an accident and obtain needed repairs for the vehicle utilizing your policy, you would be obligated to pay, out-of-pocket, for the first 500 dollars of the repair costs. (After that, the insurance company picks up the rest of the cost of the repair.) Generally speaking, the higher the deductible, the lower one pays in premiums. Then there’s comprehensive coverage. This protects your vehicle against damage from a variety of different perils. For instance, damage from weather is covered and windshield repair and replacement is also covered, among a wide range of other issues one might face. Comprehensive coverage also protects you if your vehicle is stolen or vandalized. (Basically, this protects from mostly anything not involving a collision with another vehicle.)
Auto insurance offers one a wide variety of choices to help protect both you and your vehicle financially. It is important for many to obtain a policy that extends all the benefits, not to mention the legally necessary aspects, of good car insurance coverage. A quality auto policy can save untold number of dollars in out-of-pocket expenses and provide invaluable peace of mind.






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