Distinction among collision and comprehensive car insurance
An auto insurance collision comprehensive coverage feature pays costs for damages caused to the insured vehicle for whatsoever reasons that may include theft and flash floods.
It is important that you buy car insurance comprehensive and collision cover especially if your car is under finance or lease. However, if your car is not under any financial obligation, it is totally up to you whether you must purchase comprehensive collision coverage or not.
How To Compare Comprehensive And Collision Auto Insurance Quotes?
What Do Collision and Comprehensive Insurance Cover?
While collision cover pays damages caused to the insured vehicle when it hits another car or object, comprehensive cover pays costs for damages resulting from extreme weather conditions, fire, animal hits and car theft.
Most of the insurers provide car insurance comprehensive vs collision coverage package which might also include liability coverage that complies with state requirements. Hence, such a feature is often referred to as full coverage car insurance.
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When Should You Buy Car Insurance Comprehensive And Collision?
You may be required to buy collision and comprehensive coverage to protect your finances in few unique situations as under:
- Your car is on finance or lease
- Your car is not more than 10 years old
- Your car is worth more than $3,000
Buying auto insurance collision comprehensive, you can ensure that your financial position is not adversely affected should the insured car meet with an eventuality that causes extensive damages. Car repairs and parts replacement post an accident can be highly expensive and such a policy will come in handy to give you real peace of mind. Even if you have purchased state prescribed basic liability coverage, normal auto insurance policies will not pay costs for car repair.
What Factors to consider Getting Car Insurance Collision Comprehensive?
You may wonder if it is really that necessary to buy both the types of coverage. To help you with the decision making process, here are some vital factors that you need to understand before you start researching your options.
Your car’s market worth
If you are driving an expensive vehicle like a sedan or SUV then you will need collision comprehensive insurance cover.
How much do you use car?
If your vehicle is parked in garage at your home for most part of the year, you might not need such coverage types.
Risk of an accident exists
The more you drive your car, the higher will be the probability of its meeting with an accident.
The area in which you live
Car accident or theft rates in certain localities could be much higher than those in other residential areas.
Your existing savings levels
Think whether your current levels of savings can cover up costs for damages resulting from accident or car getting stolen.
Your monetary position
Can you stand to fix your vehicle or purchase another one if there is the harm?
What Happen If I Don’t Buy Auto Insurance Comprehensive And Collision?
- If you carry only state mandated basic liability and property damage coverage then your vehicle will not be covered under such a policy.
- In such a situation, if you happen to get involved in an at-fault accident or your car hits an uninsured or underinsured motorist, you may have to bear total costs for all resulting damages on your own.
- But when you have auto insurance collision and comprehensive coverage, the feature will pay expenses for damages although within agreed upon limits.
- These may include costs for medical treatments for bodily injuries to and resulting car damages of uninsured/underinsured motorists, car repair as well as replacement of parts or getting a new car if your vehicle gets totaled in the accident.
FAQ On car insurance collision comprehensive
Buy full financial protection with collision comprehensive car insurance at a price you can afford!