First and foremost what is a car Insurance?
A car insurance policy is a contract that covers the costs of damages to your vehicle caused by accidents or theft. It is critical to note that having an auto insurance policy does not imply that you should not take good care of your vehicle.
Notwithstanding, in order to reduce the cost of unpredictable events, you could use a car insurance policy, and we’ll go over everything you require to make your decision in this article.
Types Of car Insurance
- Comprehensive insurance.
- Collision insurance
- Underinsured motorist insurance.
- Medical payments coverage.
- Personal injury protection insurance
- Gap insurance
- Liability insurance
- Uninsured motorist insurance
- Medical payments coverage
- Towing and Labor insurance
1.Comprehensive Car Insurance :- Provides additional cover in the case of an accident involving another vehicle. It pays for damages to your car excluding collisions, break in, harsh weather event and accidents with animals.
2.Collision Insurance :- Cover for damages for car as a result of an accident involving another vehicle and may assist in the repair or replacement of a covered vehicle
3. Underinsured motorist insurance :-Protects you against drivers who purchase the bare minimum of liability coverage to save money, which may not provide adequate coverage. Underinsured motorist coverage protects you from drivers whose insurance coverage is insufficient to cover the costs.
4. Medical Payments coverage :- Medical bills after an accident can be exorbitant. Medical payments coverage help pay for medical expenses incurred as a result of a covered accident, irrespective of who is at fault.
5. Personal injury protection insurance :- Personal injury protection insurance may pay for certain medical expenses and lost wages as a result of a covered accident.
Personal injury protection may cover up to 80% of medical as well as other costs resulting from a lined incident that occurred, based on the policy’s limits.
6. Gap insurance :- As a result of rapid decrees in the value of a car, an auto insurance settlement may not be sufficient to cover the cost of a loan. it may assist some drivers in covering the amount owed on a car loan following a total accident or theft.
7. Liability Insurance :- provides coverage for injuries and property damaged as a result of a covered accident.
8. Uninsured motorist insurance :- Provides cover for you and your vehicle from uninsured motorists and hit-and-run accidents.
9. Medical payments coverage :- Help pay for medical expenses incurred as a result of a covered accident, irrespective of who is to blame.
10. Towing and Labor insurance :- Towing and labor insurance may cover the cost of a tow as well as the labor costs to repair your vehicle.
Why Do You Need A Car Insurance Policy?
There are 101 reasons why we need a car insurance policy but we will look at a few
- Financial Protection
- Helps Protect your passengers
- It is required by Law
- To Protect your assets
- Peace of mind
conclusion
A lot of people over the years reason insurance as a scam ,there are millions of people who have been paid claims over the years. Make it a point of duty to always go over your insurance document and read in-between the lines.
Own insurance policy currently?
ensure to pay your premium as at when due to keep your policy active.
