Do You Have Enough Auto Coverage?
First, let’s figure out what car insurance is designed for.
Car insurance is designed to protect you, your assets, others, and property in the event of a collision, theft, or natural disaster. You pay your premium each month for the comfort of knowing that you won’t have to pay a large sum in the event of a catastrophe.
There are 2 parts of your Auto Policy you should be concerned about: Liability and Physical Damage Coverage.
Though Liability coverage doesn’t protect your car, it does protect you and your wallet! If you’re in an accident that’s deemed “your fault,” liability insurance covers third-party costs you’d typically be responsible for—medical or auto-repair costs that others might sustain due to the accident. There is also coverage if you get hurt in an accident, whether you are at fault, or it was a “hit & run” or the other party’s is found at fault.
Physical Damage Coverage
This coverage pertains to the damages that YOUR vehicle sustains, whether you are at fault or not. There are 2 parts of Physical Damage; Collision and Comprehensive
Collision coverage covers your car if it’s involved in an accident with another vehicle or you have hit an object (pole, tree, curb, etc). If you are at fault then you are subject to paying the Deductible. If the other party is found to be at fault, then you may not have to pay the deductible if you have the Waiver of Deductible.
Comprehensive coverage protects you from damage that occurs from sources other than a collision with another car. Some examples are: damage from theft; fire and explosion; collision with an animal; vandalism; flying or falling objects; civil unrest or riot. Comprehensive also provides coverage from damage from weather conditions or natural disasters, and provides full Glass coverage for your windshield and windows.