Financial Security and Your Insurance Coverage

We see more and more cars on the road every year. This could lead to a higher possibility of a collision. Car insurance can be the difference between a minor inconvenience and a large trial. But why is insurance important and just how much should you get? Car accidents can result in a variety of different expenses, which can all be paid for based on the insurance policy you have purchased. Auto insurance is required by law in all states and provinces. Deciding to drive without owning insurance could cause you to repair or replace a stolen or damaged vehicle and pay the cost of any damage for which you might be responsible. Liability: Pays for damages due to personal injury and property damage to others for which you are responsible. Bodily injury damages include medical fees, and lost wages. Property damage can refer to damaged property and loss of property use. If you are sued, it also pays your defense and court costs. Local laws typically mandate minimum amounts, but higher amounts can be purchased and are usually recommended. Personal Injury Protection: Personal injury insurance is required in some states and is optional in others. Sometimes referred to as no-fault coverage, this pays the medical treatment for you or your passengers regardless of who was at fault. This insurance may also cover lost earnings, service replacement and funeral expenses. Local government typically sets minimum amounts. Medical Payments: Medical payment coverage is available in non-no-fault states and will pay regardless of who is responsible for an accident. If this type of coverage has been bought, the insured person will receive coverage for necessary medical and funeral expenses. Collision: Damages that occur from a collision will be covered under this type of insurance. Comprehensive: This type of insurance takes care of all non-collision damages. This could include weather damage, vandalism, and burglary. Uninsured Motorist: Too many drivers are breaking the law by driving a car without having the right amount of car insurance. This type of coverage will cover you if you are in a collision with one of these drivers. Under-Insured Motorist: Just like uninsured coverage, this type of insurance protects you against people driving without enough insurance protection. Emergency road service, car rental, and other varieties of coverage can also be purchased. Car Insurance Quotes Clermont