The Wrong Type Of Car Insurance Could Well Get You Into Serious Trouble
Car insurance protects the policy holder (commonly the owner or driver of the car) from financial loss as a result of a car accident. For this protection the policy holder has to pay a regular premium which varies according to several factors like the age of the driver, the type of vehicle, the driver’s history and location to mention a few.
There are presently a number of different types of car insurance to protect the plan holder from costs arising out of damage to the vehicle, property damage and injury to persons involved in a car accident. The various different types of car insurance cover include:
Liability cover which pays for damages to other people or to their property as a result of a car accident and which additionally covers any court costs involved. In many states liability cover is the absolute minimum required before you may drive an automobile on public roads.
Collision cover which will pay for damage caused to your vehicle in the event of a collision with another vehicle or other object.
Comprehensive cover which is designed to pay for different types of damage including theft, fire, malicious mischief and damage resulting from severe weather.
Medical cover which pays for medical expenses associated with injuries resulting from an automobile accident.
PIP (Personal Injury Protection) cover which pays for medical expenses when an injury is sustained during a car accident, regardless of who caused the accident.
Uninsured and under-insured cover which provides payment for damages sustained to you if the other driver in a car accident has no insurance.
Every state has its own rules governing car insurance and some forms of cover will be mandatory in a particular state while others are purely optional. For example, some states only require you to have liability cover while other states insist upon PIP insurance cover.
There are also various states that are known as ‘no-fault’ states in which policy holders are able to recover any financial losses from their own insurance company, irrespective of who is found to be at fault in an automobile accident.
Make sure that you are carrying the right form of car insurance by letting the professionals provide you with a free and no-obligation cheap car insurance quote today.
