Collision and Comprehensive coverage:
Collision and Comprehensive coverage pays for damage to your automobile. You can purchase either or both of these coverages for each vehicle you own. If you have an auto loan however, you may be required to purchase both.
Collision coverage insures against damage(s) to your vehicle in the event of an accident.
Comprehensive coverage insures against all other physical damage to your car caused by such events as fire, theft, flood, and vandalism.
Collision and Comprehensive coverage usually includes a deductible typically ranging from $100 to $1,000. If your car is damaged, the insurance company pays only for the damage in excess of the deductible you selected. The higher the deductible, the lower the premium.
Liability coverage pays for injuries you cause to other people, and damage you cause to other people’s property if you are found to be at fault in an automobile accident.
Medical Payments Coverage:
Medical Payments coverage pays medical expenses (up to a specified dollar limit) for you and passengers in your car who are injured in an automobile accident, regardless of fault.
Personal Injury Protection:
Some states require Personal Injury Protection, which is also known as No-Fault coverage. This coverage pays for things like medical and rehabilitative expenses, replacement services, and funeral expenses. It also pays for loss of income if you are injured in an auto accident and are unable to work.
Uninsured/Underinsured Motorist Coverage:
This coverage pays if a person who is completely uninsured or doesn’t have enough liability insurance to cover your injuries injures you. It also covers you if you are in an accident with a hit-and-run driver.
Optional or special coverage includes extras such as towing, rental reimbursement, and roadside assistance. None of these coverages are required.