There are 6 components to auto insurance resulting in many different levels of coverage for you:
• Bodily Injury Liability
It pays the medical and other expenses of people injured in an accident you cause. This is required by most states.
• Property Damage Liability
It covers the damage your car causes to property, usually the other car or cars involved in the accident but also any objects you may hit (fenceposts, garages, buildings…).
• Uninsured/Underinsured Motorist
This pays for injuries to you, and, in some cases, damage to your car, if you are hit by a driver who doesn’t have insurance.
• Personal Injury Protection
This coverage pays medical, and even funeral, expenses for you and members of your family and passengers in your car if it is involved in a collision, regardless of who caused the accident. It also covers you as a pedestrian if you are hit by a vehicle.
It covers the damage done to your car when it collides with another car or an object.
This covers damage to your car that results from something other than a collision, for example damage caused by vandals or a windstorm.
• Other Miscellaneous Coverage
Remember that sometimes “you get what you pay for”. The cheapest option for car insurance might not be the best option for you and your family with the best protection. When you do have a claim, something that goes wrong, that’s a terrible time to discover that you don’t have adequate protection.The minimum amount of auto insurance required by most states is not much. If you buy just the minimum coverage required by law, you are leaving your assets at considerable risk. If you are at fault in an accident that causes serious injuries, it could also be your home, your property, or even your pension at risk. Interested in more insurance? Consider an umbrella insurance policy to cover your assets even more.