No matter where you live, if you own a vehicle you need to have the right insurance. Your coverage not only protects your car, but it protects you if you are ever in an accident. Although you may know the basics of your policy, you might not know if you have all the insurance that you really need.
Most people are only familiar with whether they have comprehensive, liability, or collision coverage. The details of their policies generally aren’t considered until they need to make a claim. It can be too late, once you have an accident to get the right coverage.
If you are looking for the best auto insurance Tampa or Boston has to offer, you need to know more about how you are being covered. In this article, we will take a closer look at the different types of auto insurance policies so you can gain a better understanding of the coverage that is right for you.
Basic Coverage
Collision
If you are leasing your vehicle, you will be required by your lender to have a minimum collision policy on your car. Since you don’t own your leased vehicle, this type of coverage protects the lender if there are any damages to the car. Collision coverage pays for any repair needed to the vehicle following an accident. If you own your car, collision coverage isn’t required by law, however, adding this type of policy can protect you from large repair bills.
Comprehensive
A comprehensive policy may be required by your lender if you are leasing your vehicle. The car lender will want to protect their vehicle until it is fully paid for. Comprehensive policies provide protection from the costs of damage to your vehicle outside of an accident. These types of damage may include theft, fire, vandalism, or flooding. If your car is an older model, you may not need this type of coverage, but for newer models comprehensive coverage can protect your investment.
Liability
Liability coverage is required by law in most states. It is meant to protect the driver from damages that will be paid out in cases of damage or death as a result of an accident. It also covers third-party injuries and damage. Without the protection of liability coverage, you could be responsible for paying any costs and damages following an accident.
Additional Coverage
There are several add-on policies that can be added to your basic auto insurance coverage if it suits your needs. Most of these policies may not be necessary if you have other types of protection. Let’s take a quick look at your options for additional coverage.
Full / Limited Tort
- You may save some money on your premiums with this rider, however it means that you will have to give up your right to sue for damages following an accident.
Personal Injury
- Drivers and passengers are covered for incurred medical bills following an accident. If you have a good medical insurance policy, you may not need this additional coverage.
Towing
- This add-on rider will cover the cost of towing your vehicle following a breakdown or accident. If you are a member of a roadside assistance program, you may already have this coverage.
Gap Insurance
- If you are leasing a vehicle that is totaled in an accident, gap insurance will cover the difference between the blue book value and what remains owning the vehicle. This can be a wise investment.
How To Choose An Insurance Company
It’s crucial to select a car insurance company that’s credible and reputable. Thus, take the time to research the company profile, credentials, and the public’s perception of the auto insurance company you’re considering. You can start by visiting their website and reading online reviews from community forums and social media.
Because not all insurance companies are dependable when a car accident occurs, it’s important to find out if claimants have successfully received settlement or compensation from your prospective insurance provider. If you know a relative, neighbour, or a friend who met an accident and was properly compensated by the car insurance company, then it’s a good sign that they approve claims without much hassle.
You may also want to deal with an insurance provider that’s known to support worthwhile causes, such as environmental projects. For instance, you can compare Greenslip with other insurance companies, and you’ll realize the importance of dealing with a ‘green’ or environmentally friendly insurance provider.
There are many benefits to availing of a ‘green’ insurance plan is a good idea. You’re able to contribute towards preserving the environment, like tree planting to reduce carbon emissions caused by vehicles. Green insurance providers also tend to be more approachable, considerate, and excellent in providing customer service.
When you are shopping for your auto insurance you should be giving serious consideration to the type of coverage that you really need. Talk to your broker about your basic requirements and any additional add-on policies that will protect you in case of an accident.