How Does Auto Insurance Work?

Each year, more automobiles and drivers hit America's roads. As this number increases, the chances of a car wreck will also increase. If you get in a car crash, the auto insurance you own can make a big difference in how much you have to pay. But why do you need insurance and exactly how much should you buy? Auto insurance protects you by paying for injury or damage you inflict on others while driving your car, damage to your car or injury to you or your passengers from an accidents, and certain other incidents, such as theft. No matter where you are living, you will need to buy some variety of auto insurance. By not purchasing insurance, you run the risk of having to pay the full cost of any harm you cause others or to repair or replace your car if it is damaged or stolen. Liability: Bodily injury and property damage that you are responsible for will be covered under liability insurance. Damages from bodily injury include medical expenses, lost wages, and pain and suffering. Property damage can refer to damaged property and loss of property use. It also covers your legal fees if you are sued. State laws typically mandate standard amounts of liability insurance, but higher amounts can be purchased and are very beneficial. Personal Injury Protection: This is mandated in some states and is optional in others. It pays you or your passengers for medical treatment resulting from a crash, regardless of who may have been at fault, and is often called no-fault coverage. The minimum amount of this insurance is usually set by local government. Medical Payments: This type of coverage can be purchased in non-no-fault states and will pay regardless of who is responsible for an accident. This insurance will pay for an insured person's necessary medical or funeral expenses resulting from a crash. Collision: Damages resulting from a car accident will be paid for under this kind of insurance. Comprehensive: Cover your car from damages from other sources when you buy this type of insurance. This includes protection from theft, vandalism, and weather damage. Uninsured Motorist: Thousands of drivers are breaking the law by driving a car without owning the proper amount of insurance. This type of coverage will cover you if you are in an accident with one of these drivers. Under-Insured Motorist: This pays for collision expenses when an insured person is injured in a crash caused by another person who does not have the right amount of insurance to pay for the total cost of the damages. Other types of coverage, like emergency road service, are also available. Car Insurance Groveland