Basic Auto Insurance Coverage Types

Auto insurance coverage types may be confusing to some people. Policies include various types of provisions, provisions you may or may not need. A basic car policy has several kinds of protection.

Auto liability will pay for damages if you are in an accident and the cause of the accident is your fault. Auto liability has two different categories: bodily injury covers medical expenses and loss of wages while property damages cover damaged property.

Personal injury protection covers you if you are involved in a car accident. It will pay for medical expenses, rehabilitation, loss of earnings and possibly funeral expenses.

Collision will help pay for damages to a vehicle caused by an accident with another vehicle, an accident involving an object or a vehicle rollover. There is normally a deductible that is required with collision coverage.

Comprehensive indemnity will cover damages or loss of a vehicle that is uninsured. This indemnity covers anything that is not caused by an accident or rollover. Types of damages include fire, wind, hail, vandalism and theft. There is also a deductible with comprehensive inclusion.

Uninsured motorist is the type of inclusion that pays for damages if you are in an automobile accident and are injured and the cause of the accident is by a driver who does not carry liability insurance. Depending on the state, this type of coverage can also pay for property damage.

Rental reimbursement will cover you if you are in an accident and your vehicle needs to be repaired. It pays for a rental car and there are daily allowances that vary by state or by policy.

Emergency roadside service will pay to have your vehicle towed if it breaks down on the side of the road. Again, there are limits to this type of inclusion and it will vary by state and policy.

These are just a few auto insurance coverage types that can be available on your policy. For more information, contact your local insurance agent or the internet for more resources.