What is Auto Insurance?

The amount of drivers on the road increases every year. As this number goes up, the chances of a car collision will also increase. If you get in a car wreck, the auto insurance you own can make a large difference in how much you have to pay. But why do you need insurance and just how much should you purchase? Car insurance protects you by covering the cost of damage caused to your vehicle or someone else's vehicle and injury to other people, yourself, or your passengers, and certain other situations, such as robbery. Without insurance, you risk having to pay the full price of the harm or injury you cause others. Liability: Personal injury and property damage that you have caused will be covered under liability insurance. It also covers your defense and court costs if you are sued. Local laws typically mandate minimum amounts, but larger amounts are available and usually recommended. Personal Injury Protection: Personal injury protection pays for the medical treatment for you and your passengers, no matter who was at fault in the crash. It is commonly referred to as no-fault coverage. It can also cover lost wages, replacement of services and funeral costs. Local government typically sets minimum amounts. Medical Payments: This coverage is available in non-no-fault states; it pays regardless of who carries responsibility for a collision. If this type of coverage has been purchased, the insured person will receive payment for necessary medical and funeral costs. Collision: Damages that occur from a car accident will be paid for under this type of car insurance. Comprehensive: This applies if your vehicle is stolen or damaged by causes other than a collision, including fire, wind, hail, flood or vandalism. Uninsured Motorist: This pays for repair and replacement costs when an insured person is in an accident caused by a driver who does not have liability coverage. Under-Insured Motorist: This pays for damages when an insured person is in an accident caused by a driver who does not have enough liability insurance to cover the total cost of the damages. Other policies, like car rental and emergency road service, are also available. State Farm Agent Clermont