Having auto insurance is one of the most important things you can do to protect your peace of mind and your finances. It’s also important that you understand what type of policy you have, especially if you are thinking about changing your auto insurance coverage.
There are several different types of auto insurance, and many policies include one or more of these coverage types.
- Liability insurance — This is the most basic type of car insurance and is often required by last. This type of auto insurance covers injuries and property damage that you cause to others in an accident.
- Collision coverage — Collision coverage pays for the repairs or replacement of your own car in the event of an accident, regardless of who is at fault. This is especially valuable for newer or more expensive vehicles.
- Comprehensive coverage — Comprehensive coverage protects your car from non-collision incidents, such as theft, vandalism, natural disasters, or hitting an animal. This provides coverage for any damages that are not the result of a collision.
- Uninsured/underinsured motorist coverage — This coverage protects you if you’re involved in an accident with a driver who either has no insurance or insufficient insurance to cover your damages. It can include both bodily injury and property damage coverage.
These are just the most common types of auto insurance, and there are many others that you may want to consider when shopping for a policy. To learn more about the different types of auto insurance and which ones you need, contact us today.