Types Of Car Insurance

Car insurance is a type of coverage that protects you against financial losses in case of an accident. It also provides protection against theft and/or damage to your car. This can be very important for people who own cars, as it can help them recover from any financial losses they may incur due to accidents or other incidents involving their vehicle.

Car insurance policies are generally divided into two categories: bodily injury liability (BI) and property damage liability (PD). BI covers medical expenses for injuries caused by you or members of your family if they were driving the insured vehicle at the time of an accident; PD covers repair costs for other people’s vehicles in case yours gets damaged during an accident with them.

Car Insurance Coverage Types

Liability Insurance
Liability insurance covers you if you are at fault in an accident. It pays for the damage to other people’s property, and it also covers their medical expenses.
Liability Insurance is divided into two main types: Bodily Injury Liability (BI) and Property Damage Liability (PD). BI coverage pays for injuries sustained by others in your vehicle, while PD coverage pays for damages to their vehicles, homes or other property.
Personal Injury Protection (PIP) is a type of BI that provides medical care for you and your passengers regardless of who was at fault in an accident. This benefit can also cover lost wages due to injury or death sustained during an accident on public roads within Florida’s borders

Collision Insurance
Collision insurance covers damage to your vehicle from a collision with another vehicle or object. It can also cover repairs to your own car if you cause an accident, but only if you have comprehensive coverage on that vehicle as well. Collision insurance may include a deductible–the amount of money you have to pay before the insurer will start paying for damages.
Deductibles vary widely, so be sure to ask about them when getting quotes on different policies!

Comprehensive Insurance
Comprehensive insurance covers damage to your vehicle from events other than a collision. It can include comprehensive coverage for glass breakage, theft and fire damage, but not physical damage caused by a crash. Comprehensive insurance also covers repairs to your vehicle if it’s stolen or damaged by vandalism or natural disasters.
This type of car insurance is often paired with a deductible–the amount you pay out-of-pocket before the insurer begins paying for repairs on your claim (for example: $500). If you have collision coverage through the same policy as comprehensive, then the deductible will be waived if there’s an incident involving both types of damages.

Uninsured/Underinsured Motorist Insurance
Uninsured/underinsured motorist insurance covers you if you are involved in an accident with an uninsured or underinsured driver. This type of car insurance can help pay for the damage to your vehicle, medical expenses and lost wages.
For example, let’s say you’re driving along and another driver runs a red light and hits your car. If this person doesn’t have insurance or enough liability coverage to cover the damages done to your vehicle, then uninsured/underinsured motorist coverage will step in as a substitute for them. Uninsured motorist coverage also covers injuries sustained by passengers inside of your vehicle during an accident caused by someone who does not have adequate insurance (or any at all).

Medical Payments Coverage
Medical Payments Coverage is a type of car insurance that covers medical expenses related to an accident. It can also include coverage for funeral costs, if you or your family member dies in the event of an accident.

Rental Car Coverage
Rental car coverage is a type of insurance that can help you pay for the costs associated with renting a vehicle after your car is damaged in an accident. This coverage will typically cover the cost of renting a replacement vehicle and other expenses related to getting you back on the road as quickly as possible, such as fuel, tolls and parking fees.
Rental car coverage may also provide reimbursement for damage caused by vandalism or theft while you’re traveling away from home (but not if someone breaks into your own personal vehicle). Some policies even offer roadside assistance services such as flat tire repair or jump starts if needed.

Gap Insurance
Gap insurance covers the difference between the amount you owe on a vehicle and its actual cash value. It also covers costs related to loans or leases, so if your car is totaled in an accident and not repaired, gap insurance will help pay off what you owe on it.
Gap coverage can be added to any other type of car insurance policy (except liability) at an additional cost.

Roadside Assistance
Roadside assistance is a great feature to have if you’re ever in need of help on the road. It covers the cost of towing, fuel delivery and tire changes in the event that your car has broken down or run out of gas. The service can also provide other services such as battery jump starts, lockouts and flat tire repair.

If you’re a driver, it’s important to have the right car insurance. There are many types of coverage available, and each one offers different benefits. It can be difficult to know which type of policy is best for your needs–but when it comes down to it, most drivers just want to stay safe on the road and protect their investment in case something happens.

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