One of the most devastating events is an auto accident. It is advisable to have adequate and possibly full coverage car insurance. Let's take a look at how this breaks down. Full coverage can sound like everything is 100% covered. This is not true. Any devaluing of the car will be taken into account. Carriers are not likely to pay for anything above the real value of a vehicle.
Comprehensive and Collision coverage cover takes care of the insured vehicle repair or replacement in the event of auto theft or if the car is damaged. It does not matter who is at fault in an accident. Deductibles are what the insured pays towards the damage before insurance takes over. The lower deductible the higher the cost of insurance coverage. Collision coverage covers any property damaged in an accident. This includes hitting another car. Comprehensive coverage takes care of damage to a vehicle that is not related to a collision. This includes running into an animal or vice-versa, flooding and theft.
Bodily Injury and Property Damage coverage is for any legal responsibilities that result from any injury to the other party and / or to their property. Amounts of coverage may or may not pay for the incident. Coverage at 15/30/10 for example would cover up to $ 15,000. for each injured person, $ 30,000. is the maximum the insurance will pay for each accident and $ 10,000. is the limit for property damage. Any charges above these volumes would have the responsibility of the person at fault. This could result is legal seizing of assets if there is not enough coverage.
Uninsured and Under-insured coverage affects the payment for physical injuries and vehicle damages not at fault of the policy holder. This occurs when the guilty party does not have insurance or does not have enough insurance. The limit as to what is covered is based on the limits of the policy of the non-guilty party. There are some states that allow uninsured / under-insured coverage in place of collision coverage.
While the coverage stated is typical there are other coverages that some insurance carriers offer. Instead of being a part of full coverage car insurance these are at the choice of the policy holder. Loan or lease payoff covers the difference between the cash value of a vehicle and the advanced balance up to 25 percent of the cash value. Rental reimbursements typically pays a set amount per day to rent a car while waiting for a damaged one to be fixed. There are other add-ons as well that are not as common.