Most automobile insurance policies have very similar coverage. The difference usually can be narrowed down to an individual preference of coverage.
As a customer you can choose to include or exclude the following:
1.) Collision and/or Comprehensive coverage (comprehensive is also sometimes referred to as “other than Collision”.),
a.) You may choose the amount of your deductible for each loss.
2.) Uninsured/Underinsured Motorist
3.) Personal Injury Protection or Medical
4.) Rental reimbursement
5.) Towing and Labor
6.) Death and/or Disability
In Texas, it is mandatory for all automobile drivers to be able to produce verifiable proof of liability insurance coverage on the car they are driving. Failure to provide this proof can result in a very stiff fine and/or suspension of the driver’s license.
Coverage descriptions are as follows:
1.) Liability coverage - Pays others for bodily injury and/or property damage that you may cause in an automobile accident where you are considered at fault.
2.) Collision coverage – Pays you and/or your lienholder for damage done to your vehicle if you are considered at fault in an accident. (Subject to your chosen deductible.)
3.) Comprehensive coverage – Pays you and/or your lienholder for all physical damage to your auto (other than collision) for things like fire, theft, vandalism, flood, hitting animals and
hail damage. (Subject to your chosen deductible.)
4.) Uninsured/ Underinsured Motorist- Pays you for your injuries and/or property damage to your vehicle sustained in an automobile accident where the other driver was at fault and
has insurance or not enough insurance to pay for the your damages.
5.) Personal Injury – Pays or anyone riding in your auto for things like medical expenses, funeral expenses, and loss of wages no matter who is at fault up to the specified amount on
6.) Medical – Pays you are anyone riding in your auto for medical expenses no matter who is at fault.
7.) Rental Reimbursement- Pays you or reimburses you for the expense of a replacement vehicle for a limited number of days while your auto is in the shop being repaired due to damage
from an accident.
8.) Towing – Reimburses you for the cost of a towing incident up to the limit on your policy.
9.) Death Indemnity- Pays you or your heirs for the death of the “named insured” on your policy whose is killed in an accident.
10.) Disability- Pays you (the named insured) for a disability stemming from an automobile accident in which you were involved.
There may be other coverage optional available on your automobile policy.
As agents we try hard to provide an accurate up-to-date description of your options as related to your automobile insurance. However, in the end it is ultimately up to you to choose the coverage you need and want to pay for. There is no one answer or description of coverage that fits everyone or every situation. Read your policy carefully. Please feel free to call us with any question that you might have.
A good rule of thumb on how much insurance you should buy: All you can reasonably afford.
In most instances automobile insurance rates are all about the “best fit”. As an independent agency we represent many automobile insurance carriers. We will shop our entire market to find your “best fit”.