Insurance Types – Insuring Your Car
So what are the insurances that are available? There are many different kinds of coverage for your car to cover, such as: car liability coverage which will cover lawsuits that claimed that you caused physical damage to another person’s vehicle, comprehensive car insurance to cover damages to your car and medical expenses in the case of an accident, collision coverage that will help cover damages to your vehicle if you hit another vehicle, and uninsured motorist coverage which will help you pay the costs of accidents involving other drivers who do not have sufficient insurance to cover the damages to your car. Each of these insurances has different regulations governing how much you are covered and under what circumstances your car is covered. Read on below for a quick description of each of the insurances and what they do to you, the driver.
Car Liability – This kind of insurance provides you with coverage amounts to cover damage or injury to other people or their property. Usually this type of insurance has a high deductible, which you need to pay before the insurance company pays any of the claim amounts to the person who was hit by you. There is also a limit to how much your deductible may be per claim. The limits of the deductible are usually based on the value of the vehicle that you are using for the accident. The limits are usually around $200 in some states. There is usually a limit to how much your deductible will be for a particular kind of vehicle.
Car Collision – This kind of insurance provides coverage amounts to pay medical and other costs for injuries to you or your passengers in an accident. The limits to the coverage for this kind of insurance are usually determined by a combination of factors such as the age of the driver, how long he or she has been driving, how many accidents the driver has been involved in, etc. Some states also allow the driver and passengers of a single vehicle to choose a higher deductible for this kind of insurances than those that require two vehicles. The minimum amount of the deductible is usually equal to the product of the age of the driver plus his or her driving experience, the number of cars in the family, and the amount of miles driven per year. The minimum amount of the deductible also depends on how much the auto insurance company will charge in the event of an accident.