- June 3, 2009
Types of Car Insurance
In USA, the number of cars on the roads is very high. Thus car insurance becomes a vital aspect if you own a car. There are a number of insurance companies offering different types of insurance policies.
These include bodily injury and liability, collision comprehensive, liability, full glace, personal injury protection, uninsured or underinsured motorist and medical coverage. You can choose the one that best suits your needs. This article can help you know more about the different types of insurance policies.
Basic liability or Standard Liability Coverage is the most important form of insurance coverage and is usually the cheapest car insurance coverage you can get. Several states demand this type of insurance. It constitutes 2 policies. Bodily Injury Liability which shields you from obligations that arise when you have caused bodily injuries to a person in a road accident. In case of crashes the costs you are obliged with is usually high. So do not resort to the required minimum.
Property Damage Liability covers the cost incurred due to the damage to property of the other person in the crash. Collision Coverage shields you from the cost incurred due to damages to your car following a crash against an object or a crash with another vehicle. This coverage is valid irrespective of who is at fault. Collision Coverage is an optional coverage unless you have acquired financing for your vehicle.
Comprehensive Coverage is an optional cover. This insurance covers damages done to your vehicle due to weather, fire, vandalism, auto-theft, natural disasters and others. Medical Payments Coverage shields you and other covered individuals in your vehicle from medical expenses of treating crash injuries irrespective of whose fault it was.
No Fault insurance is otherwise known as Personal Injury Protection. It covers the medical expenses, rehabilitative costs, funeral expenses and costs for loss of services incurred by you, your family member, persons in your car and injured pedestrians following a crash, irrespective of whose fault it is.
Underinsured or Uninsured motorist coverage will compensate any expenses incurred by you or persons in your car if a crash occurs with a driver who is that you or your passengers may experience if an accident should occur with a motorist who is underinsured or uninsured.
Apart from these insurances, there are other forms of insurances too. These insurances are not that important. They are also less famous and not many people opt for them as they are more expensive. These include insurances like auto replacement, glass replacement insurance, towing and labor Coverage, daily car rental reimbursement etc.
After deciding what insurance you should possess, you have to look for an insurance agent who is credible. The best way to find an insurance agent is through investigating your friends and family members. After finding an agent, you have to clarify all your doubts regarding insurances with him and then make your final decision.