Types of Auto Insurance Coverage

Types of Auto Insurance Coverage

There are many different types of auto insurance coverages available to meet your car insurance needs. Some are required and some are optional. Here are brief descriptions of the available coverages:

Liability
This covers bodily injury and damage to property that you cause to others while using your vehicle.

Personal injury protection
This covers a limited amount of medical and hospital costs, income continuation, funeral expenses, and loss of services. Coverage limits are defined in the policy.

Medical payments
This covers medical and funeral expenses (not all companies offer this coverage).

Uninsured/underinsured motorist bodily injury
This covers injuries an uninsured or underinsured driver causes to an insured person.

Uninsured/underinsured motorist property damage
This covers property damage an uninsured or underinsured driver causes to your insured car.

Collision coverage
This covers damage to your car that is caused by a collision.

Comprehensive coverage (other than collision)
This covers damage to your car - except by collision. For example, this covers your vehicle if a tree falls on it or someone vandalizes it.

Emergency road service
This covers towing when your car breaks down.

Car rental expense
If you have a claim that is covered under your car insurance policy, this coverage pays to rent a car. Be sure to check your policy for any limitations.

Death, dismemberment and loss of sight
This pays for death and certain injuries to people named in your policy due to a car accident.

GAP coverage
In the event your vehicle is a total loss, this pays the difference between the current market value of your car and the amount you still owe the lender.

Custom equipment coverage
This covers direct and accidental loss to custom furnishings or equipment.

Many companies also offer other endorsements (additional coverage). Ask your auto insurance agent or broker about: