An automobile accident can be a traumatic and devastating event, even if all the expenses are covered. While mandatory auto insurance laws vary, the state of Washington requires a minimum liability coverage, which protects you in case there are injuries and damages caused by your car.
It’s much safer to choose an insurance policy that protects the car and everyone in it, regardless of who may be at fault. A good policy, such as one that offers personal injury coverage as well as comprehensive and collision coverage, can protect you and your loved ones from a financial crisis in the event of an auto-related incident.
Deductibles
On an insurance policy, you must agree to pay a certain amount on any claim filed before the insurance company will pay the balance of the claim. This is what we all know as the deductible. Policies vary on the amount of the deductible, with lower deductibles usually coming with higher premiums.
Damages
Damages can occur to a vehicle in a number of different ways. The first thing that generally comes to mind is an auto accident. This type of damage is often expensive and may require replacement of the vehicle.
If the damage in question is to another person’s property and you or a family member is responsible, property damage liability covers the costs. This is usually one of the minimum requirements included in mandatory auto insurance laws by most states.
Collision pays to fix or replace your car after an accident regardless of who is at fault. There are many drivers on the road who are underinsured, or who have no insurance at all, so collision insurance is an important element to include in your policy.
Comprehensive covers damages that are not from an accident. This covers events such as a theft or vandalism. It also covers weather damage such as flooding or hail, and other events, such as broken glass, fire, explosion, or encounters with wildlife.
Injuries
Medical expenses are frequently much higher than the cost to fix or replace a vehicle. Car insurance policies generally have coverage for injuries incurred by an automobile accident. There are three basic types of coverage for injury:
- Bodily injury liability pays when another person is injured and you are legally liable. This coverage also generally covers court costs in the event of a lawsuit.
- Uninsured/underinsured motorist coverage pays when a driver who does not have adequate coverage injures you or a member of your family.
- Personal injury coverage pays when you or anyone in your car is injured or killed. This coverage includes income losses and other extra expenses as well as medical expenses.
Coverage, rates, and deductibles vary widely between policies, insurance companies, and from state to state. Evaluate all insurance information carefully to ensure that you have the coverage you need.