As a car owner, your priority must be to have car insurance to ensure that you are financially secure in case of loss or damage to your vehicle and also to cover liability charges. However, before buying your car insurance, you must first know the types of car insurance coverage that are available so that you can buy the required coverage based on your unique needs.
In this blog, you will learn about the types of car insurance and what they cover to give you a better idea of what coverages you need to buy.
Types of Car Insurance Coverage
Here are eleven car insurance coverage you may need:
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Liability Coverage
This coverage is a legal requirement for car owners in nearly all states across the country. You must have at least the minimum liability coverage as laid down by your state before you can drive your car on public roads.
If you cause an accident, the insurance covers you for the following:
- Bodily injuries: pays for medical costs of the person you may have injured
- Property damage: pays for damage to their vehicle or other property
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Collision Insurance
Collision insurance covers the repair and replacement costs for your damaged car if you are in an auto accident or hit an object.
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Comprehensive Insurance
The comprehensive insurance coverage pays for your car’s repair or replacement for damages caused by non-collision factors such as:
- Theft and vandalism
- Fire
- Falling objects
- Certain natural elements
- Animal damage
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Uninsured Motorist Insurance
When you are injured, or your car suffers damage in an accident where the at-fault driver does not have liability insurance or flees the scene before providing you with their insurance details, your medical bills or car repair costs can be covered by this coverage.
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Underinsured Motorist Insurance
It covers your medical bills or car repair costs when you are in an accident, and the at-fault driver either has minimum liability coverage, which isn’t adequate to cover your loss, or their liability limit is equal to or less than your underinsured motorist coverage limit.
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Medical Payments Coverage
Your, your passengers, or family members’ treatment costs for injuries in an accident, regardless of who the at-fault driver is, are covered by this insurance.
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Personal Injury Protection Insurance
The insurance pays the medical bills, lost wages, or funeral costs after an accident irrespective of who has caused the accident.
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Gap Insurance
It covers the gap between the financed amount you owe on your car and the car’s actual cash value in the event of its theft or irreparable damage.
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Towing and Labor Insurance
It covers the towing costs for your car’s breakdown when on the road, which may be due to a dead battery, an accident, or being stranded in the snow. However, you must have comprehensive coverage to get this add-on coverage.
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Rental Reimbursement Insurance
It helps you to pay for alternative transportation costs, such as a rental car, when your car is being repaired after an accident.
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Classic Car Insurance
It is specialized insurance coverage for owners of vintage, antique, or collectible cars.
If you have any questions regarding any of these coverages, you should contact a professional insurance broker or agency.
Cover Your Car with RMS Insurance
For more details on auto insurance coverage, contact us today. At RMS Insurance Brokerage, LLC, we can help you get the coverage needed for maximum protection of your car.