Personal Auto Insurance
A Personal Auto Policy is insurance purchased for cars, trucks and other road vehicles. Its primary use is to provide financial protection against physical damage and/or bodily injury resulting from traffic collisions and against liability that could also arise in the event of an unforeseen accident. The specific terms of vehicle insurance vary with legal regulations in each State.
You want to be adequately covered in case of an accident. After all, you're protecting your life and your investment, as well as the lives of those around you. Below are the standard and optional coverages which can be purchased:
Liability coverage is the most important coverage and is required in most states. Basically, if you cause an accident, hurt someone or damage someone's property, it can pay for covered damages and to defend you if a lawsuit results.
Collision coverage helps pay for damage to your vehicle if your car hits another car or object, is hit by another car, or your vehicle rolls over. This coverage is generally required if your car is financed or leased.
Comprehensive coverage helps pay for damage to your vehicle that is not caused by a collision. Examples include theft, vandalism, hitting a deer or other animal, storms and certain natural disasters.
Medical payments coverage helps pay for covered medical expenses for anyone injured while in your vehicle, regardless of who is at fault.
Uninsured/underinsured motorist coverage can help pay for damages and medical costs resulting from an accident caused by someone who has no insurance or inadequate insurance coverage.
Personal injury protection (PIP), also called no-fault insurance is available in certain states and pays medical expenses, and in some cases lost wages and other damages regardless of who is at fault in an accident.
In addition to the above basic coverages, you can choose from a host of optional coverages to create a customized auto policy that meets your needs. Please note that in some states, some of these coverages may already be included in your auto policy:
Towing and labor pays for covered towing and labor costs if your vehicle is disabled, up to your policy limits.
Rental reimbursement or extended transportation expenses coverage can pay for a rental car if your car is damaged in a covered accident and your car is out of commission for more than 24 hours.