Does Auto Insurance Cover Accidental Damage To Your Car?
Auto insurance generally covers accidental damage to a car, but the extent of coverage depends on the type of policy you hold. The vehicle you own, your personal priorities, and your budget all require unique auto insurance needs.
Campbell Insurance Agency offers auto insurance in Omaha, NE, Bellevue, NE, Papillion, NE, Council Bluffs, IA, Treynor, IA and surrounding areas.
Following are some areas detailing how and when auto insurance covers accidental damage:
- Collision Coverage: This type of coverage is specifically designed to cover damage to your car resulting from a collision, regardless of who is at fault. If you hit another vehicle or an object like a tree or a guardrail, collision coverage will pay for the repairs to your vehicle. It’s an optional coverage but highly recommended, especially for newer or more valuable cars.
- Comprehensive Coverage: Comprehensive insurance covers damage to your car from incidents other than collisions. This includes theft, vandalism, natural disasters (like floods or hail), fire, and accidents involving animals. Like collision coverage, comprehensive coverage is optional but essential for protecting your car against a wide range of potential damages.
- Liability Coverage: While liability coverage is mandatory in most states, it does not cover damage to your own car. Instead, it covers the costs of damages and injuries you cause to others in an accident. However, if another driver is at fault, their liability insurance should cover your repair costs.
- Uninsured/Underinsured Motorist Coverage: This coverage is crucial if you are involved in an accident with a driver who either has no insurance or insufficient insurance. In such cases, your own uninsured/underinsured motorist coverage can help pay for repairs to your vehicle and medical expenses.
- Deductibles and Limits: Both collision and comprehensive coverages come with deductibles and policy limits. A deductible is the amount you pay out of pocket before your insurance kicks in, and policy limits cap the maximum amount your insurer will pay for a covered loss. Choosing higher deductibles can lower your premium but means you will pay more in the event of a claim.
- Policy Exclusions and Conditions: It’s essential to read your policy carefully to understand what is and isn’t covered. Some policies may exclude certain types of damage or specific situations, such as using your car for commercial purposes or participating in a race. Additionally, insurance typically does not cover mechanical breakdowns or regular wear and tear.
In summary, auto insurance can cover accidental damage to your car, primarily through collision and comprehensive coverages. Understanding the specifics of your policy, including deductibles, limits, and exclusions, is crucial to ensuring you have adequate protection for your vehicle.
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