I want to know the difference between a full coverage and liability.

Mia

Chicago IL

You need to listen very carefully when agents use the term full coverage. When you say Full Coverage, it means that your vehicle is covered by the required liability, collision and comprehensive coverage. It denotes that the value of any damage to your vehicle will be covered by the insurance company. The Liability coverage means that you are covered for any damage your car do to others, damage that you are responsible for and with out the liability coverage, the pay will be coming from your own pocket. This will amount from hundreds to thousand dollars depending on the damage you made. Collision coverage makes sure that you are covered for damages in your car that you are responsible for like getting in an accident while comprehensive coverage covers different kinds of damage that you do note have any control of like fire, theft, falling trees and even hitting animals.

Insurance companies offer different kinds of liability coverage. Some only covers body injury or damage to property but still this will depend on the insurance company. Most states will require both. This will allow you to be protected.

Liability coverage will pay for the injury and the damage expenses you caused other especially if you are responsible for these. The injuries will cover hospital bills and possible the lost wages of that person. The damage expenses or Property Damage will cover you if you caused damage to other property. Usually it’s another car that you got into an accident with but it could also be a house, a mailbox, or even a garden.

You must remember that most states allows driver to sue other drivers who injured them in car accidents and the liability coverage has limits. Your liability coverage may not be enough to cover you for the damages you cased other people or other properties.

I have collision coverage insurance on my policy. I want to keep it but I would like to know if there is any way I can lower the cost of my collision coverage.

Viktor

Omaha, NE

If you want to lower your collision coverage insurance, you can raise your deductible on your policy. You should also choose a less expensive car so you can get lower car insurance rate. Ask for any discounts that you may be eligible of to reduce the cost of your car insurance.

Car insurance deductible is what you pay out of your own pocket before your insurance policy kicks in. If you choose the highest deductible that you can afford, it will lower your premium. For instance, a $500 deductible will lower your car insurance payment. The rule of the thumb is: the higher the deductible, the lower your premium.

If you have an older car it may not be worth it to buy collision coverage insurance on it. So it is best to determine the actual cash value of your vehicle. If you ever file a claim for significant damages, your insurer will likely declare your car a total loss rather than have it repaired. That’s because the cost of repairing your car exceeds its actual cash value.

What is the difference between collision and comprehensive coverage?

Bill

Buffalo, New York (NY)

A collision insurance coverage protects your car from damages caused by collision with another object or another car.

On the other hand an auto insurance comprehensive insurance protects your car from damages caused by vandalism, theft or glass breakage.

If you are leasing your car, usually your lien holder will require you carry these coverages. The reason for this because they cover the car up to its actual cash value (ACV). The car technically belongs to the lienholder.)

If your car is paid for, you have an option to buy comprehensive and collision coverages of just go with the minimum liability coverage. Most insurance providers will require you keep the deductible amount the same for both collision and comprehensive coverage. To be able to know if these coverage are worth getting, you will need to weigh the value of your car against your deductible amount and the premium you will be paying for the coverage. If you have an older car, it is advisable to just remove the auto insurance comprehensive and collision coverage.

Is it worth purchasing a rental car insurance coverage?

Nicole

Sacramento, CA

Ask your current car insurance company first. Purchasing rental car insurance coverage won’t be necessary if your current car policy covers rental cars. However, if your own insurance policy covers rental cars, it’s a good idea to check if you have a collision and liability coverage. To refresh your memory, collision coverage means your car insurance company will pay for any damage done to the vehicle you’re driving and if you have done damage to someone else’s vehicle, you’re liability coverage will have it covered.

So, if your current insurance policy covers rental cars, and has collision and liability coverage, the next step would be to check what your limit is when it comes to collision coverage. Here is an example scenario; lets say you rented a car that cost $20,000 and your current insurance policy only covers damage expense worth $2,000, the remaining balance will come out of your pocket, so check you’re limitations.

Now, if you think rental car insurance coverage is the way to go, you still need to ask a few questions.

Is there any exclusion on their collision coverage? There are instances that tires or windshields are excluded on their policy, so read the exclusion page thoroughly.

And one last reminder, even though you purchase a rental car insurance coverage, in an occurrence of an accident, your no claims bonus will get tainted and a price increase in your insurance cost will still occur.

Should I purchase full coverage on my 15 year old vehicle in West Virginia?

Ben

Charleston, WV

Yes, you can purchase full coverage on your 15 year old car with most auto insurance providers in West Virginia. Most insurance providers will let you to buy the least state minimum auto liability requirements and the Physical Damage coverages of Comprehensive and Collision.

If you are planning to purchase these optional coverages on your 15 year old vehicle make sure it is economical to do so. You need to determine the fair market value of your vehicle and check if the cost to get full coverage insurance on your vehicle will not cost more than the actual cash value of your automobile.

You may prefer to purchase the state minimum liability coverage with the insurance company in West Virginia and then buy a classic vehicle insurance policy for the physical damage.

Would there be any difference if I get a Comprehensive Vehicle Insurance policy, as compared to a regular policy, for my car here in California?

Arnold

Los Angeles, CA

Very good question! and I’m glad you brought it up since many people out there are actually confused about the difference between a regular car insurance policy, and a comprehensive vehicle insurance policy. A typical vehicle insurance policy consist of different sets of ‘coverage’ clauses, each specifically designed to address a specific event that could cause you to lose some, or the total value, of your vehicle. A comprehensive vehicle insurance policy is a type of vehicle insurance that combines all sorts of ‘coverage’ clauses or policies to give you as much protection as could be thought of, from as many foreseeable events and accidents as possible, that could compel you to file for a car insurance claim in the future.

Although comprehensive vehicle insurance seems to be the most obvious choice, many people would find the price for such a complete insurance ‘package’ steep. This is especially true for those wanting to insure a fairly expensive vehicle, or those who may have not had as good a driving record as they would have liked to have.

This is why you need to know how to effectively search for your next vehicle insurance coverage. Companies determine your rates by using many different factors and each will have its own way of computing these factors into a premium. The difference vary greatly and could mean hundreds of dollars saved on yearly insurance costs. The most convenient way to do this is to use the free insurance quote tool found on this website to help you find the best rates, as well as compare many different companies simultaneously.

I just want to know what the available auto insurance coverage is.

Rodney

Burbank, CA

It is to one’s own awareness that liability auto insurance coverage pays up to the specified limits and limitations of bodily injury and property damages incurred by third parties if the insured is found liable as a result of an automobile accident. The liable party would be responsible for paying the third parties’ damages and may be forced to pay from the equity of a house or vehicle, if without coverage.

1. No Fault Insurance coverage- this is also known as Personal Injury Protection or PIP. This is a coverage which applies to a driver, passengers and any pedestrians involved in an automobile accident. Medical expenses, loss of wages, and other related injuries are being paid up regardless of who is at fault and even if there is negligence involved.
2. Medical payments auto insurance portion- a policy that is designed to pay some of the medical consequences that resulted from an accident such as medical bills and/or funeral expenses up to the policy limit.
3. Uninsured motorist auto insurance- this does not only insures against the “Uninsured motorist” but also protects policy owners against the “Under-insured motorist”. This is optional; however, it is recommended that it be added to a policy in the best interest of the insured.
4. Comprehensive and collision auto insurance coverage- this is also referred to as “Physical Damage”, this covers damage caused by anything “other than auto collisions”. There are, however exclusions under comprehensive coverage and some of the more common ones are ,theft, fire, vandalism, collision with animal, windstorm, flying objects, hail, broken windows.
5. Rental car coverage- this coverage pays for the rental of a vehicle in the event the policy owner’s vehicle be stolen or in an accident. Availability of this through your insurance company may provide reimbursement for costs paid towards a rental car while the vehicle is being repaired or if stolen, while the claim is settled.

Additionally, the Internet is also a great source to instantly compare auto insurance coverage available from multiple brand name companies.

My car here in Florida got damaged during a collision, unfortunately the one who rammed into my vehicle does not have car insurance, what can I do now?

Kenji

Boca Raton, FL

That is unfortunate but if your auto insurance coverage has an Uninsured/ underinsured motorist coverage then this should take care of the damages or the necessary replacement and reimbursement for your vehicle. For those not familiar with this kind of car insurance coverage, an Uninsured/ Underinsured basically provides coverage for damages your car gets, as well as injuries you sustain in an auto accident and the other party is at-fault. You can use this to cover the difference on your expenses along with your comprehensive or collision coverage. This is definitely a type of auto insurance that everyone should consider getting.

If you have full coverage auto insurance then this should not be a problem. The reason you got car insurance in the first place is because of these scenarios. If you don’t have this kind of coverage under your policy, you could choose to go to court and have a judge there in Florida decide on how the at-fault party would need to compensate you properly. Also, don’t forget about your collision coverage since this may already provide enough money to pay for the damages or replacement of your vehicle. It would be very important to consult an agent with your auto insurance carrier immediately regarding this matter so you can take the right course of action immediately. Your carrier should be able to file the claim against the other party for you and advise you appropriately.

I don’t want me to take all day just to get the car insurance coverage that I want. Could you tell me how can I get cheap car insurance coverage here in the state of Arizona?

Edith

Scottsdale, AZ

Looking for car insurance is one thing that each motorist in Arizona will be paying attention to. But, this would not be a very easy chore because anyone would like to have a low cost car insurance coverage. To lower your car insurance charges, you can first get rid of coverage that you don’t need. A lot of car insurance policies have more coverage than the least amount required. Comprehensive, collision, uninsured motorist as well as personal injury protection are examples of coverage that are in your policy that could increase your premiums. Then you may also increase your deductible so that you could be able to save some money. A little warning that you have to make sure that you can pay the deductible that you choose in the event of filing a claim.

Doing your own research is also one way of making sure that you will have low cost car insurance coverage. In the state of Arizona, there is a ‘Rate Increase Law’ wherein it won’t allow the car insurance provider to increase your premiums if you have an accident in which you are not at-fault. Another one is with regard to Cancellation of Car Insurance Policy in which the law doesn’t allow the termination of your car insurance policy by your insurer after once it has been in effect for 60 days with the exception of some instances.

If I will finance the purchase of my car here in South Carolina, why is it so important for me to get comprehensive and collision coverage for my car insurance?

Danny

Charleston, SC

The required auto liability insurance would only pay for the damages on the other vehicle in an accident that you are at fault. In this case, the damages on your car would not be covered by your own car insurance. For that reason, the finance company who gave you the loan on your car would require you to purchase collision and comprehensive coverage.

Collision coverage would be the one to pay for the damages on your vehicle that are sustained in an accident that is your fault. Comprehensive coverage would pay for the damages that are caused by natural disasters such as fire, hail, etc. In case you hit an animal, the comprehensive coverage would also pay for the damages on your car. If you put together a complete coverage for your car insurance in South Carolina, the collision and comprehensive coverage must not be more than the fair market value of your car and must not be less than what you owe to the finance company. You have to check with the finance company if you owe them more than the fair market value of your car.

If you have figured out how much is the minimum liability coverage that you need and you have figured out the minimum amount of comprehensive and collision coverage that you need as well as your deductible, then you can now go online and search at least three various websites that would allow you to compare the costs of auto insurance policies from different insurers.