Automobile Insurance Basics

There are more cars and drivers on the road every year. With so many vehicles on the road, crashes will happen. If you get in a car accident, the auto insurance you own can make a large difference in how much you have to pay. How can you decide what insurance you need and how to buy it? Mandated coverage varies by state/province but usually includes the following: Liability: Pays for expenses due to personal injury and damage to property that you are responsible for. Damages from bodily injury can include medical fees, lost wages, and pain and suffering. Property damage includes damaged property and loss of property use. It also covers your defense and court costs if you are sued. Recommended, higher levels of liability insurance are available that take care of more than the stripped-down, state-mandated insurance. Personal Injury Protection: This type of insurance pays for hospital bills and other medical treatment for you or your passengers, no matter who was responsible for the accident. It is mandated in some states and optional in others. This insurance can also cover lost wages, replacement of services and funeral expenses. State law usually sets minimum amounts. Medical Payments: This type of coverage can be purchased in non-no-fault states and will pay no matter who is responsible for the accident. All reasonable medical or funeral expenses will be paid for under this insurance policy. Collision: Damages resulting from a collision will be paid for under this kind of insurance. Comprehensive: This kind of insurance takes care of any non-collision damages. This may include weather damage, vandalism, and theft. Uninsured Motorist: Too many drivers are breaking the law by driving a car without owning the right amount of insurance. This insurance will cover you if one of these irresponsible drivers hit you. Under-Insured Motorist: There are other drivers who have liability insurance that can't cover all the expenses they are supposed to take care of. This type of insurance protects you in accidents involving those drivers. Emergency road service, car rental, and other varieties of coverage can also be purchased. State Farm Agent Clermont