If you are interested in purchasing cheap car insurance, you may be overwhelmed or confused by some of the different types of auto insurance coverage that are offered. What does comprehensive coverage mean? What is the difference between collision and full coverage? Allow me to explain what some of the different types of car insurance coverage mean.
Comprehensive coverage will cover more than just an accident. Should your car get stolen, get caught in a storm, or even catch on fire, comprehensive coverage will cover the losses that you suffer. Because comprehensive coverages covers some of the less likely scenarios that could occur, you may want to avoid purchasing comprehensive coverage if you are looking for cheap car insurance. However, if you can afford to pay a little more, then I highly recommend it. A couple years back, I had my car get caught in a windstorm and suffer some damage. Due to owning comprehensive coverage, the insurance company took care of the car repairs.
Collision coverage will cover your vehicle in case of an accident. This is some of the more basic coverage available. Collision coverage does not include any medical expenses. Collision coverage is useful if you have excellent health insurance and you are not as worried about your own medical bills should you get into an accident.
The definition of full coverage varies based on the car insurance company. Usually, full coverage is something more than just your basic car insurance coverage. When you are looking for cheap car insurance, your options may be more limited in finding full coverage. However, if you can afford to spend a little extra to obtain full coverage, I highly recommend it. You can’t put a price on the peace of mind you will feel.
Liability coverage extends to any damages that you cause to other people or their property. Liability coverage is especially important in avoiding any potential lawsuits or large bills as the result of another individual not owning the proper insurance should you be at fault in the accident. Personally, I recommend that you do not skip out on liability coverage in your purchase for cheap car insurance. Many years ago, I had a friend who had gotten into a car accident where he was at fault. The individual that he hit did not have proper car insurance. Fortunately, my friend had liability coverage included in his policy, and he was able to avoid having to pay for any car or medical expenses for the person that he hit. Ever since then, I have always made sure to include liability coverage on my policy.