Coverage:
Comprehensive coverage (Comp) This kind of insurance insures your vehicle against the cost of purchasing a new vehicle if it is stolen or destroyed in a fire.
Collision coverage (Coll) This kind of insurance insures your vehicle against the cost of repairing the vehicle following an accident or the cost of purchasing a new vehicle if it is damaged in an accident beyond economic repair.
Protection:
Getting the Best Deal on Auto Insurance
Let your fingers do the walking... Remember that Yellow Pages Ad Campaign? Excellent advice if youre shopping for auto insurance. Shop around and do it yearly. Dont just keep paying the invoice over and over without comparison shopping. Below are a few suggestions to help you get the best deal available on your automobile insurance policy.
Insurance agents really have a lot of leeway. They can price match and they can offer many discounts. There are also many decisions you can make about your policy that will save you a bundle. For example, if you change your deductible on your collision ..
Personal Injury Protection (PIP) - This insures against the cost of medical expenses and lost wages related to the use, ownership or maintenance of a motor vehicle. This insurance is mandatory in some U.S. states.
Medical Payments (MP) - insures against the cost of medical expenses for bodily injury sustained in an accident beyond any expenses that may be covered by PIP.
Legal liability claims against the driver or owner of the vehicle following the vehicle causing damage or injury to a third party.
Understanding Different Types Of Auto InsuranceAuto Insurance policies can be divided into different categories according to the coverage they provide. Broadly speaking there are four kinds of policies known as Collision Insurance, Comprehensive Coverage Insurance, Uninsured and underinsured Motorist Coverage policies and No Fault Automobile Insurance policy. Besides these, there are policies that take care of other needs like covering an auto loan, paying for towing expenses or paying for the cost of a rented car while your vehicle is being repaired.
The most common insurance policies are:
Collision: Any property damage caused to your v ..
While Liability insurance covers only legal liability, comprehensive insurance covers PIP, MP, as well as legal liability. In the United States, liability insurance covers claims against the policyholder and any other operator of the insureds vehicle. If, however, any other operators live at the same address, they must specifically be covered on the policy. For rented vehicles, most rental car companies offer insurance to cover damage to the rental vehicle.
While comprehensive insurance covers most aspects of damage which can affect the car itself or the driver, there is one risk associated with buying a new car is not covered even by comprehensive insurance once the car is bought, there is a sharp decline in its value. During this period (immediately after a car is bought), in which the remaining car payments exceed the value of the vehicle and thus the compensation the insurer will pay for a totaled (destroyed, or written-off) vehicle, customers may consider purchasing GAP insurance. GAP insurance was established in the early 1980's to provide protection to consumers based on buying and market trends.
About the Author: Chris Tolamalu is interested in auto insurance. See http://www.autoinsurancelowdown.com" target="_blank"> http://www.autoinsurancelowdown.com for more information.
Source: http://www.isnare.com Chris TolamaluAuto Insurance 101
