Understanding Your Auto InsuranceBy Tom McKnight
Reading auto insurance policies can be like trying to decipher advanced calculus. It's really not that difficult if you understand a few basic terms. Collision, Comprehensive, Bodily Injury Liability and Property Injury Liability are the main terms you need to fully understand.
You'll appreciate Collision Coverage in the event you need repairs or replacements if your vehicle collides with another vehicle or property. The higher the deductible you elect, the lower your premiums will cost you. If you're at fault for something, well of course it would still be an accident, as I doubt you'd plan to run into that guard rail, but how much would you be able to afford to pay out of pocket for repairs? $250? $500? $1,000? Just like medical insurance, you'd have to pay that deductible amount first and then the insurance company would pay for the remaining charges for the repair.
Another term to become intimately familiar with is Comprehensive Coverage. This is the coverage that pays for damage caused from falling objects, fire, certain natural disasters, theft and vandalism. Deductibles work the same way as with Collision; the more out of pocket costs to you, the less your insurance premium.
In addition to knowing how much Collision and Comprehensive coverage you have, you'll want to know about your liability coverage. Let's say you rear-end another driver. Or your foot slips off the brake onto the gas pedal and you plow down a mailbox. Your liability coverage will kick in and pay for the damages that you caused with your insured vehicle. You liability coverage will, or could, include bodily injury (people) and property damage.
You don't want to go without Bodily Injury Coverage. If you were at fault in an accident and others involved needed to go to the hospital and/or lost wages from missing work, those costs would come out of your pocket if you are not insured with Bodily Injury Coverage. It doesn't take a genius to know how quickly those amounts can add up. This type of coverage can also help you in the event the other party takes legal action against you. Many states require you to carry Bodily Injury Coverage.
The other part of liability includes Property Damage coverage. Can you imagine how much it might cost should you accidentally drive into the side of someone's home? You wouldn't want to be caught without property damage insurance should you need to pay for repairs to another vehicle, building or anything else you might hit. As with Bodily Injury coverage, Property Damage coverage also helps protect you in the event of a related lawsuit.
Every policy will have its limits and various degrees of coverage. It's important that you understand the basics of what you are paying for and why it is necessary. No one plans for an accident, be prepared!
A Primer on Student Car Insurance Discounts
A good student discount can help lower your insurance premium and give college kids and teens an incentive to hit the books.
Arizona mom who left children in hot car regains custody
By David Schwartz PHOENIX (Reuters) - An Arizona woman who attracted national attention in March when she left her two young children in a hot car while at a job interview regained custody of them on Thursday, her lawyer said. Shanesha Taylor, whose tear-stained mug shot was broadcast widely and generated nearly $115,000 in donations, will be allowed to take her two sons home from state care ...
Owners, renters blame HOA for flooding
Heavy rains dumped over six inches of water on parts of the East Valley on Monday morning, causing road closures, flooding, and thousands of dollars in damage.
Two dead in Arizona flooding
Frances Burns PHOENIX, Sept. 9 (UPI) -- At least two women were killed as a record-breaking storm fueled by the remnants of Hurricane Norbert dumped inches of water on much of Arizona.
State Farm announces Arizona monsoon claim numbers
Residents encouraged to contact their insurance agent to ask questions and report damage.
Good2Go® Releases Cell Phone Safety Discount in AZ
ATLANTA, Aug. 26, 2014 /PRNewswire/ -- Good2Go®, specialists in minimum coverage auto insurance, announced that their Cell Phone Safety Discount is now available in Arizona. Customers will receive 5% off ...
Arizona Mom Who Left Children In Car During Interview Regains Custody Of Her Kids
Shanesha Taylor?s life is turning around! The Scottsdale, AZ mom, who made national headlines after leaving her children in a hot car during a job interview, has reportedly regained custody of her three children. According to the Daily Mail, Taylor attended a custody hearing in a Maricopa County courtroom on Thursday, August 28. The judge Arizona Mom Who Left Children In Car During Interview ...
Top 10 stolen cars in Arizona in 2013
A new report from the National Insurance Crime Bureau lists the top 10 vehicles most popular with car thieves in 2013.
Arizona Declares State of Emergency
Arizona Declares State of Emergency
San Antonio No. 2 in tailgate thefts
Nationwide, there were 1,921 insurance claims citing stolen tailgates off of pickup trucks between Jan. 1, 2012, and Dec. 31, 2013.