Getting insurance for your car is absolutely essential if you want to be covered against accidents and mishaps of all types. In fact, it is an expense that no car owner should cringe about. Therefore, you need to be on your toes when it comes to getting it for your new car or renewing for an old vehicle. The most important aspect of car insurance is the coverage it offers. Primarily, you would want it to offer you the maximum coverage that protects you if you get involved in an accident.
So what all do you need to consider when it comes to car insurance coverage? What all do you expect to be covered? Do you need protection only against accidents or is there a way to get cover for other mishaps as well? Can you get a cover for yourself or also for your family members? You would surely want the answers to these questions because it is always wise to stay one step ahead and keep yourself protected against unfortunate events. Here are some insurance coverage types that every car owner needs to know about.
Auto liability coverage
When you drive, accidents are always a concern because you and the passengers may get injured when something unfortunate happens. At the same time, a pedestrian or other driver could also be injured during the accident. Further, there could be damage to property as well. Auto liability coverage is what gets you covered in this context. Liability coverage includes two types of liabilities, namely bodily injury liability and property damage liability. Bodily injury liability, as the name suggests, helps to pay for the accident victim’s injuries if they get injured due to your negligence. Property damage liability, on the other hand, is meant to pay up for damages caused to the victim’s property.
Besides being involved in an accident with pedestrians, you may also encounter a vehicle collision. Such accidents may happen with other vehicles or with a wall or fence. Though these are less common, but even the best drivers may have one during their driving experience. In any case, you will probably need coverage to repair your vehicle or even replace it in case of serious damage. Collision coverage comes ahead as a good option in this context. It is not mandatory though you may require one if you are a lienholder. Moreover, you may skip this type of coverage if your vehicle is old and does not carry much value. Owners of relatively new and expensive vehicles must, however, opt for it.
Accidents are not the only cause of vehicle damage. What if your car is damaged because of the elements of the weather? What if it is hit by a deer? What if your car gets stolen? Such events are least expected but they still may happen once or more. Obviously, getting yourself insured against them is a smart idea. Comprehensive coverage is your best bet if you want a cover against circumstances other than accidents. Though it can be expensive, you should still opt for it if you can afford one. Moreover, it becomes affordable if you install anti-theft and tracking devices on your vehicle.
Medical payments coverage
This type of coverage provides support for medical payments for injuries to the driver and passengers in case of an accident. What’s more, the cover is available even when a family member of the driver is driving the insured car when the accident takes place. Justin Kimball of Preszler Law Firm (https://www.preszlerlaw-ns.com/) says that in Ontario, most insurance policies cover the other people who reside in the same house as the insured party. The costs that come under the insurance cover include medical expenses for hospital visits, X-rays and even surgery.
Uninsured and underinsured motorist coverage
Another type of auto insurance is uninsured and underinsured motorist coverage, which covers the accident victims rather than drivers. Essentially, this type of coverage aims to cover your injuries as a victim in a road accident. Uninsured motorist coverage provides relief if you are hit by a driver who does not have insurance to compensate you for your injuries as a victim. Underinsured motorist coverage, on the other hand, helps when the driver has car insurance but the liability limit is not enough to pay up the victim’s medical bills. Besides covering your medical bills as a victim, this type of coverage also includes the cost of repairs to your vehicle.
Personal injury protection coverage
Another type of coverage that you must opt for is personal injury protection coverage. Known as PIP, this type of coverage takes care of medical bills and even the loss of income due to the injuries sustained in the accident. You or a family member can face the latter if the injuries are grave enough to cause temporary or permanent disability. A disability, in turn, can cause loss of employment and regular income. Personal injury protection can cover a major part of your medical and income-related expenses based on the limits of the policy you have taken up. Another good thing about this type of coverage is that it covers the driver as well as the family members if they sustain injuries during a car accident.
Gap coverage, rental reimbursement coverage, towing and labor cost coverage and new car replacement coverage are some other types that you can have for your vehicle. Every car owner probably knows how auto insurance works but may not have knowledge about the different types of coverage they should seek. While some of these types are required by the law, others are optional in nature. You may or may not take them depending on your budget, but it is always better to get as much protection as you can. An optimal cover gives you peace of mind that you will have an umbrella that protects you in unfortunate circumstances. Nothing matters as much as safe driving but getting ample coverage definitely gives you a sense of security when you are on the road.