The ABC’s of Car Insurance
We all know that we need to have car insurance if we want to safely drive our vehicles. But it can be very confusing when it comes to all of the different car insurance companies that are found online. The first step to purchasing car insurance is to know what you need and what is out there. There are a number of components that make up the actual cost of your insurance plan that you need to be well aware of.
Bodily Injury Liability
Bodily injury liability coverage is a part of all car insurance plans that will protect you from any injury or death claims that are made against you if you are in an accident that hurts or kills someone.
Collison coverage will cover the damage done to your vehicle in the event you are in an accident. It will cover up to the blue book value of your car. Drivers will pay a deductible if this happens, generally from $250 up to $1,000, depending on what they choose when they purchase a car insurance policy.
The medical portion of a car insurance policy will pay for any injuries that you or the occupants of your car suffer if you are in an accident. For those in a “no-fault” state, personal injury protection is the replacement for medical coverage.
Property Damage Liability
This car insurance portion will cover any property that you may damage if you are in an accident, such as a building or other structure. This type of car insurance coverage is required in almost every state.
Rental coverage is an optional choice when you purchase car insurance. If you are in an accident and your car is in the shop, rental will cover the cost of a rental car up to a certain amount of days or a certain amount.
If you are in an accident that is not your fault and the other driver does not have insurance, uninsured motorist coverage will protect your car and pay for damages. More drivers are uninsured than people think, so this is a good type of coverage to purchase.