Types of Coverage Needed in Case of an Accident
Insurance is a fundamental means of protection against financial loss due to an accident. The most common accidents are car accidents. According to statistics from the Association for Safe International Road Travel(ASIRT), 20-50 million people are annually injured and disabled due to car accidents.
It’s a scary number and there is need to protect oneself against financial losses caused by injuries or disability from a car wreck. This is why it is vital to arm yourself with car insurance.
When interested in car insurance, it may be difficult to choose your preferred package. In fact, when going online in search of the right car insurance, confusion can arise by the different options available.
Here is information on some auto insurance options that will make it easier for you to make a choice.
It is beneficial to have your car insured. However, what happens when there is a car accident and you end up destroying other people’s property? Liability insurance covers you and the property damaged. It covers any property damaged repairs as well as medical bills resulting from your injuries.
Most states in the US have a minimum requirement for the amount of liability insurance you need to pay. However, if you can afford it, it’s wise to have a liability cover that’s above the state stipulated amount because it will provide you with extra protection.
A liability cover is especially important when you are found at fault of the car accident.
This form of insurance covers the repairs needed on your car. If your car is totaled and the repairs exceed the value of your vehicle, then the insurance company is compelled to pay the worth of your vehicle.
On the contrary, if your car is very old, then this package may not be fit for you. Otherwise, if you have an expensive or relatively new vehicle, this is the best cover to bring you back to your feet in the event of an accident.
Other than covered insurance. You may be involved in a car calamity caused by a non-covered event like weather, running into cattle or your car gets stolen (eventualities other than collision). Comprehensive insurance covers these types of occurrences.
If you can afford it, this cover is important and can become more affordable if you have an anti-theft tracking device installed in your car.
Personal Injury Protection (PIP)
You have to consider the fact that you may have other occupants in your car in the event of a car accident. They could be your family. You may not afford a comprehensive cover but PIP is a cover you must consider.
Costs related to car accidents can quickly go up. Medical bills for both you and your family will be paid by PIP no matter whose fault it is. Take note that this cover is not available in all states.
Full Coverage Insurance
Full coverage means combining all the listed covers to protect you and your car. It is more advantageous because it covers all aspects of the car accident whether it was your fault or not. Note that this does not apply to insurance extras like uninsured or underinsured car insurance.
When choosing a motor vehicle insurance cover, be wise to choose one that covers your needs and is also affordable.