Physical Damage Coverage for Your Vehicle
If you have ever shopped around for car insurance, you have probably noticed that there are a variety of different options.
You can purchase liability coverage for just the damage you cause, you can purchase underinsured / uninsured motorist coverage to protect yourself financially against underinsured drivers, and you can purchase physical damage coverage to repair your vehicle.
Physical damage coverage can help you cover a variety of damages that may occur.
First, there are two main types of physical damage coverage: comprehensive and collision.
As its name suggests, comprehensive coverage protects your car from many different forms of damage, such as:
It is your responsibility to choose the amount of deductible that you want to pay in case something happens to your vehicle.
For instance, you may decide that you can cover up to $2,000 in damages, but if your repair costs are higher, your insurance company can pay the rest.
However, if you do not want to pay much of a deductible, you will instead pay a higher premium.
If you want your vehicle's physical damage from collisions covered by your insurance, you should also choose collision coverage.
This covers damage you cause in a collision as well as problems that occur when other people hit you.
Like comprehensive, you pay the deductible after a collision and the insurance company pays the remaining contractual amount.
There are several different situations when a person may choose these two forms of car insurance.
If you are leasing or financing a car, you may be required to have this coverage.
If you have a new or luxury vehicle, physical damage coverage can help you financially protect your purchase.
You can purchase liability coverage for just the damage you cause, you can purchase underinsured / uninsured motorist coverage to protect yourself financially against underinsured drivers, and you can purchase physical damage coverage to repair your vehicle.
Physical damage coverage can help you cover a variety of damages that may occur.
First, there are two main types of physical damage coverage: comprehensive and collision.
As its name suggests, comprehensive coverage protects your car from many different forms of damage, such as:
- Stolen vehicles
- Bad weather damage like hail
- Fires
- Flooding
- Animals
It is your responsibility to choose the amount of deductible that you want to pay in case something happens to your vehicle.
For instance, you may decide that you can cover up to $2,000 in damages, but if your repair costs are higher, your insurance company can pay the rest.
However, if you do not want to pay much of a deductible, you will instead pay a higher premium.
If you want your vehicle's physical damage from collisions covered by your insurance, you should also choose collision coverage.
This covers damage you cause in a collision as well as problems that occur when other people hit you.
Like comprehensive, you pay the deductible after a collision and the insurance company pays the remaining contractual amount.
There are several different situations when a person may choose these two forms of car insurance.
If you are leasing or financing a car, you may be required to have this coverage.
If you have a new or luxury vehicle, physical damage coverage can help you financially protect your purchase.
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