Car Insurance

The Four Main Components of an Auto Insurance Policy

Liability Coverage: This coverage protects if you cause damage to others property or cause bodily harm during the course of an accident.

Medical Expense Coverage: Protects you and others in your vehicle. It pays for necessary medical expenses due to accident related bodily injury, no matter who is at fault.

Comprehensive Coverage: Covers damage or loss to your vehicle caused by almost anything other than a collision or rollover. Examples include: Fire, Theft, Vandalism, Flood, Hail, Windstorm.

Collision Coverage: Pays for accidental damages caused by collision or rollover, no matter who is at fault.

Additional Coverage Components Of An Auto Insurance Policy

These coverages can be added at an additional premium.

Uninsured Motorist: This coverage pays for the death or bodily injury in the event of the at-fault vehicle not being insured or driver is never identified.
Underinsured Motorist: This coverage pays for the death or bodily injury in the event of the at-fault insured not having sufficient coverage.
Uninsured Motorist Property Damage: This coverage pays for the damage to your vehicle by an uninsured driver.
Towing or Emergency Road Service: This coverage pays to tow vehicle to nearest service station. Also can include delivery of oil, gas and locksmith services.
Rental Reimbursement: If your vehicle’s covered damages are being repaired, this coverage will pay for a rental of another vehicle up to the defined limits.
Death and Dismemberment: Pays in the event of a death or loss of certain body parts when you or a member of your household is injured in a vehicle or struck by a vehicle.
Lease/Loan Gap: Pays the difference in a total loss if your vehicle is depreciated to an amount lower than what you owe.

Discount Coverages Of An Auto Insurance Policy

Discounts differ from company to company so here is a list of the most common.

Auto & Home: Having your auto insurance and your home insurance with the same company can be a benefit.
Auto & Life: Life insurance is your most important coverage and can also save you money on your auto insurance.
Multiple Vehicle Discount: Having two or more auto policies insured will give you a discount.
Air Bag Discount: The more airbags you have the safer your vehicle is in an accident.
Accident Free: You are rewarded when you tend to avoid accidents.
Defensive Driver: With a course certificate you can save a few bucks.
Good Student Discount: If you or your child has a 3.0 GPA, savings can be added to your policy.
Security Device: If you have OnStar, LoJack or several other security devices, you may qualify for a discount or coverage benefits in the event of a claim.