Understanding Different Types Of Auto InsuranceBy Marcus Dubois
Auto Insurance policies can be divided into different categories according to the coverage they provide. Broadly speaking there are four kinds of policies known as Collision Insurance, Comprehensive Coverage Insurance, Uninsured and underinsured Motorist Coverage policies and No Fault Automobile Insurance policy. Besides these, there are policies that take care of other needs like covering an auto loan, paying for towing expenses or paying for the cost of a rented car while your vehicle is being repaired.
The most common insurance policies are:
Collision: Any property damage caused to your vehicle due to an accident caused by any other vehicle or object is covered under this policy. The claim amount cannot exceed the actual cash value of the vehicle and is subject to any deductible.
Comprehensive: Any property damage to your vehicle that is caused by non-collision factors like fire, theft, vandalism, and even natural disasters like flood, hurricane or earthquake is covered under this policy.
Uninsured Motorist Coverage (UM) and underinsured motorist (UIM) coverage: takes cares of any injury that may result to you or to persons insured in your policy from an accident that takes place with another uninsured or underinsured driver or vehicle owner. Generally only body injuries are covered under this policy.
No Fault Auto Insurance Policy: Irrespective of who caused the accident, the insurance company pays for the medical expenses and for the loss of wages that the insured suffers on account of a collision under this policy.
Some other additional coverage that an auto insurance policy holder can buy are:
Property Damage Liability and Bodily Injury Liability: These two policies protect the insured from any claims made against him for causing damage to property including vehicle belonging to another person or for causing any bodily injury or loss of life to other individuals up to the amount mentioned in the policy.
Auto Lease Protection: is an additional protection that you may add to your collision or comprehensive auto insurance policy to take care of any gap that exists between your auto loan amount and the cash value of your vehicle.
Full Tort and Limited Tort: available only in the state of Pennsylvania allows the insured to retain unrestricted rights to bring a lawsuit against a negligent party or recover expenses incurred for certain damages.
Rental Expense: Known as Extended Transportation Expense Coverage, the policy pays for a rental car while your vehicle is being repaired or replaced.
Medical Payments Insurance covers medical expenses for injuries sustained in an accident involving any vehicle for the insured, his passengers and other parties irrespective of whose fault it is.
Towing and Labor: An additional coverage option that can pay for all necessary towing and labor costs to tow your damaged vehicle to a work shop or another location.
|
How Credit Scores Can Boost Home Insurance Premiums
Got so-so credit? You are likely paying more in premiums than people with excellent credit.
State, congressional candidates go on the record with health policy issues
The physician who is campaigning to become Kansas's Lieutenant Governor talks health care payment models while candidates in Virginia, Massachusetts and Connecticut take on policies ranging from over-the-counter birth control to the interaction between the health law and Medicare.
When you lend your car, think about the insurance
Do you lend your car to friends, family, or even strangers who hook up with you through a car-sharing smart phone app? If you do, remember that you're also often lending those other drivers your ...
Springfield Makes 38 of 200 on America's Best Drivers Report
CBSNews -- Drivers in Fort Collins, Colorado, can take another bow before calmly climbing behind the wheel. For the fourth time in a decade, Allstate has named it "America's Safest Driving City" in its annual analysis of car accidents . Fort Collins has been in the top 10 every year, according to the insurance company, which assessed drivers in the 200 largest U.S. cities. The most dangerous ...
America's safest drivers in '14
Allstate ranks 200 cities by how often they file collision claims. You're likely to go three times longer between fender benders in some cities.
Crash-achusetts: Tops for Car Collisions
Five of New England's cities rank in the Top 10 worst in the country for accidents, according to Allstate Insurance Co.
Strategies to Pay for Retiree Health Care Costs
Plan ahead by including medical expenses as a line item in your retirement budget.
Your insurance claim denied?
When insurance works like it's supposed to, it can be a little like the movie where the sheriff rides into town and rescues you from the bad guys.
The Thorny Problem With Prices
After being diagnosed with diverticulitis at an urgent care facility in Brevard, North Carolina, last year, Lucia Gerdes' thoughts shifted from the pain in her gut to her lack of insurance. Rather than go directly to the hospital for tests, antibiotics and pain meds as the physician had advised, Gerdes, who had recently moved to the area from Southern California, sat in her car in the parking ...
The Problem With Health Care Prices
After being diagnosed with diverticulitis at an urgent care facility in Brevard, North Carolina, last year, Lucia Gerdes' thoughts shifted from the pain in her gut to her lack of insurance. Rather than go directly to the hospital for tests, antibiotics and pain meds as the physician had advised, Gerdes, who had recently moved to the area from Southern California, sat in her car in the parking ...
|