Auto insurance can be a bit confusing for first-time buyers. It’s not something you walk into an insurance agency and just buy the same policy that everyone else has. In fact, different drivers have unique needs and priorities making each total auto insurance package a little different for everyone.
These are a few types of auto insurance you might expect when you’re exploring your auto insurance coverage options with us here at BOLT Insurance Agency.
Almost every U.S. state requires some form of liability coverage for every vehicle on the road. This protection isn’t about protecting you when accidents occur, but more about protecting other drivers on the road when you’re found to be at fault in an accident.
Liability protection offers coverage for bodily injury caused to passengers in other vehicles involved in the accident as well as property damage your vehicle may have caused to other vehicles, structures, etc. The state minimum coverage is rarely sufficient to meet your needs in a serious accident and does not provide protection for your vehicle, property, or injuries.
Personal Injury Protection
If you, other drivers protected by your policy, family members, or passengers are injured personal injury protection (PIP) coverage provides for the medical bills resulting from the accident – up to the policy limit. Some states currently require this coverage, but it is a wise investment whether required by law in your state or not.
Liability insurance only provides for the repairs to other vehicles damaged in an accident by you and not for the costs of repairing your own. Collision coverage provides for repairs to your car if it has been involved in a collision with other vehicles, buildings, and objects. While not required by law to drive in most states, if you lease your vehicle or have a loan for your vehicle it may be required by your creditor.
This coverage extends to non-collision related damage to your vehicle, such as vandalism, hail, trees falling on your vehicle, etc. and is wise to have for most drivers on the road today – particularly if you are still paying for your vehicle.
Underinsured/Uninsured Motorist Coverage
Despite laws in most states mandating that drivers have insurance, the sad truth is that there are many drivers on the road who have either too little coverage (especially those who have only the state mandated coverage) or no insurance at all. This coverage pays for repairs and medical expenses the other driver’s policy doesn’t cover.
There are a variety of specialized insurance coverages available for drivers today too. If you feel your car may have special needs or require special coverage make sure you discuss your needs with us today.