Do I Need Comprehensive Insurance Coverage?
Comprehensive insurance coverage is an aspect of car insurance that will pay for damages done to your vehicle by events different from a collision with another vehicle. For example, lets say youre driving your car during a rainstorm, and you skid out and hit a brick wall, crushing the front of your car. Another driver is not responsible for the hundreds and maybe even thousands of dollars it will cost to fix your car, so the damage has to be covered by you. Thats why people get comprehensive auto insurance vs only liability insurance, because your insurance company will now be obligated to pay for the repairs (minus your deductible). You pay for this coverage in the form of a higher monthly premium, of course, but you will be glad to know youre covered when unexpected things like this happen.
What Does it Cover?
Comprehensive car insurance coverage will also pay for damages incurred by acts of vandalism, or if your car is damaged by a hit-and-run driver. Other events which would be covered by comprehensive car insurance would be floods, earthquakes, fires, and other acts of nature. Theft is also covered by comprehensive car insurance coverage. Many insurance companies will have subtle differences in their policies, of course, so be sure to make sure you know exactly what is or isnt covered.
Most states consider comprehensive insurance coverage to be optional what they really want is to be sure you have collision coverage, so that your insurance company will pay for another drivers damages if you are responsible. Nonetheless, almost everyone gets comprehensive car insurance coverage for their own peace of mind. Just think about how difficult life would become if your car was damaged to the point where you couldnt drive it but you just didnt have the financial resources to repair it.
As with all of your major financial decisions, make sure you speak with a qualified member of the auto insurance industry before you sign any contracts. You need to know exactly where you stand, and why levels of auto insurance coverage you need.