Understanding auto insurance coverages
Auto insurance helps protect you, your vehicle, and your passengers if something unexpected happens on the road. We offer different types of auto insurance coverage, including liability, collision and comprehensive, that all work together to keep you covered.
The overall cost of your policy depends on a few key factors, including:
Premium
The amount you pay monthly, bi-annually, or annually to keep your policy active.
Deductible
The amount you pay out-of-pocket for repairs or other expenses before your coverage kicks in. For example, if your repair cost is $2,000 and you have a $500 deductible, you’ll only pay $500. Your insurance will cover the remaining $1,500.
The type of limit or coverage you choose can affect your premium. For example, if you choose a policy with higher limits and more protection, you will typically pay a higher premium.
What are the common types of auto coverage?
Liability
Bodily injury liability pays for the other person’s medical expenses. Property damage liability covers the other person’s vehicle repairs and replacement.Collision
This coverage helps pay for your vehicle’s repair or replacement up to its cash value if your vehicle is damaged in a collision.Comprehensive
This covers damage to your vehicle from events other than a collision, like theft, fire, extreme weather events or falling objects.
What are some additional auto insurance coverages?
Helps pay for medical expenses if you or your passengers are injured in an accident, regardless of who’s at fault.
Underinsured and uninsured motorist coverage
Steps in to cover costs if you’re hit by a driver who has minimal insurance or no insurance at all.
Rental Reimbursement
Helps pay for your rental car fees while your vehicle is being repaired for a covered claim.
Personal injury protection
Covers medical expenses, hospital bills, childcare expenses, lost wages, and other related costs after an accident, regardless of fault. This coverage is especially beneficial if you live in a no-fault state.
What are other coverages for special situations?
What are the car insurance requirements in my state?
Car insurance is required in most U.S. states, but the coverage type and limit may vary. Be sure to check your state requirements to see what type of insurance you need.