Car Insurance Information
Car insurance provides financial assistance to you following an accident or damage to your car. It is required in all states, so you must have coverage to legally drive on public streets. Different types of policies are available, but at the least, you must have liability coverage.
Your coverage should include property damage and liability. Liability is helpful because it covers incidents and injuries caused by you. If it’s your fault, then liability will help you foot the bill. Some policies provide coverage for damages or injuries that you and your passengers receive. If the person at fault has no insurance or not enough insurance, then your coverage will help.
Who Needs Coverage?
If you own a car, then you need insurance. Other people who drive your car should be named on the policy as well. If a person not on the policy drives and gets into an accident, then your insurance company might not provide assistance. If anyone regularly drives your vehicle, make sure to name them as a driver on your insurance policy.
How it Works
In order to get financial assistance, you must file a claim with your insurer. Then the insurer determines if you are eligible for assistance, and if so, how much money you are entitled to. This amount is minus the deductible, which you are responsible for paying. Your insurer will either pay you directly or instruct you to get repair estimates and submit the amount to the insurance company.
Types of Coverage
There are different types of auto insurance policies. Liability pays for damage and injuries you cause to others. It is important to note that liability is the minimum amount of coverage required in most states. Collision pays for damage caused to your car in a crash that’s not your fault. It also pays if the person at fault doesn’t have proper liability. Comprehensive covers non-crash-related damage. You can also get personal injury protection and uninsured motorist insurance.
The biggest benefit of auto insurance is you can drive your car on the street. Without coverage, you cannot legally drive on public streets. The financial assistance is provides is a benefit as well.