auto insurance

A car insurance deductible is the amount of money you are required to pay when you file a claim for an insured loss. Essentially, when you have a car accident and file a claim, your claim payment will be reduced by the amount of your deductible.  For many people, increasing the amount of their deductible is also a great way to save money. That’s because when you choose a higher car insurance deductible amount, it could lower the amount you pay on your insurance premium. 

This is a must have and usually a requirement.  This coverage pays the expenses of others who are injured in an accident where you are at fault.  Liability car insurance coverage does not have a deductible. 

 This type of liability insurance covers the cost of any injuries or the death of a person as a result of an accident you cause.  In the event you are in an accident which eventually ends in a lawsuit it is important to have enough liability coverage to handle any judgment. Bodily injury insurance only covers the victims of the accident. Your own medical bills will not be covered. It is extremely important to carry enough liability coverage because you will be responsible for any damages that exceed your insurance policies limits. 

 Property damage liability insurance covers damage that you and your vehicle do to another person’s property. While this mainly covers damage to other people’s cars, it also covers fences, shrubs, trees and houses. Property damage liability is not usually required by states but is an important type of insurance to have. Repair bills can quickly add up if you are not carrying enough property damage liability. As with bodily injury this insurance covers the other person’s car, not damage to your vehicle. 

 Comprehensive coverage pays your expenses if your car is damaged by something other than a collision with another vehicle or object. This could include repairing damage from hail, hitting a deer or replacing a cracked windshield. It also will pay to cover the cost of replacing stolen items. The deductible for this coverage generally is less than the deductible for a car accident. 

 This coverage pays for repairs to your vehicle when you are at fault. This could be when your car is damaged in an accident with another vehicle or an object such as a tree or wall. This deductible is usually the highest deductible you will have with your car insurance policy. If your car is hit by another vehicle shown to be at fault and the owner is adequately insured, his insurance will pay for the damage to your vehicle. In that case, you would not pay a collision deductible. 

 This will cover the cost of repairs if you are hit by someone who doesn’t have any insurance or is under-insured. This type of insurance comes in both liability and collision.