Comprehensive Coverage

• Comprehensive is a physical damage coverage that protects your vehicle against fire, theft, acts of nature and acts of fowl. This vehicle coverage is a not-at-fault coverage that is designed to repair your vehicle or reimburse the costs that are incurred for its repair. Like most auto coverages, the coverage is paid only after the claims adjuster has investigated the damages. In most cases, a police report must accompany a comprehensive claim for a stolen vehicle.
  
  

The Value

• Comprehensive coverage insures the value of the vehicle's physical damages, up to the fair market value of the vehicle. As a result, you cannot select the coverage amount for comprehensive as you can with bodily injury or medical payment coverages. Therefore, if your vehicle is stolen, your comprehensive coverage will pay up to the fair market value of the vehicle, not the financed or leased amount.
  
  

Totaled

• If the total cost of your vehicle's repair is estimated to be more than the fair market value of the vehicle, it is considered to be a total loss. Similar to the stolen vehicle, your insurance company will reimburse you with the vehicle's fair market value. In turn, the vehicle will be processed as a totaled vehicle and sent to a salvage yard.
  
  

The Deductible

• Insurance carriers require their policyholders to select a deductible when adding comprehensive coverage to the policy. This deductible reduces the risk that the insurance company encounters at the time of the comprehensive claim. While most comprehensive deductible options include $250, $500 and $1,000, some policy options include $0 and $1,500 deductible options. In most cases, a higher deductible will result in a lower policy premium.
  
  

Other Coverages

• The selection of comprehensive coverage opens the door to additional coverage options that you would not otherwise be able to select. These coverages include collision, rental reimbursement and roadside assistance. If you have a new vehicle and your insurance company provides it, you can also select gap insurance coverage. This coverage insures the difference between the fair market value of your vehicle and its financed amount, up to the specified coverage limit. It is used when your vehicle is totaled or stolen.
  
  

Reporting

• All claims activity is reflected on your C.L.U.E., or comprehensive loss underwriting exchange, report. This includes all not-at-fault accidents and comprehensive claims. On the report, the comprehensive claim will include the date of the loss, the reason for loss (fire, theft, etc.) and the amount paid for the loss. The C.L.U.E. report is provided by Lexis Nexis and available to policyholders upon request. Individuals can obtain a free copy of their report every 12 months.