What Type of Auto Insurance Do I Choose?

With the abundance of comparison sites now available on the internet, it is possible to obtain competitive quotes from a number of sources. However, not everybody understands which auto insurance cover is the best for them. Some people out there are either driving with too little cover or too much. Make sure that you are not one of them.

Comprehensive cover is the “all singing all dancing” type of cover offered, and it attracts a hefty premium. For those who require protection from additional damage due to non-collision incidents such as fire, flood and theft it is ideal. If you live in an area with a high crime rate then you may want this cover, but dropping it can save as much as 25% on the premium, although keeping the vehicle in a garage will save you some money.

Auto insurance for liability for bodily injury for the most part depends upon the minimum amount of coverage required by your state. You are responsible for the medical bills incurred by somebody in the other vehicle if you cause an accident. Coverage may be as little as $20000 per accident or $10000 per person. Many companies also give an option of liability for property damage.

Let us now have a look at Collision cover. As the name implies this will take care of damages caused by any sort of collision. Side swiping another vehicle, taking out a telegraph pole or just sliding off the road and flipping the car, the insurance will take care of the damages. Good to have for a new vehicle, but if you’re running around in an old clunker is it really worth it?

You will no doubt be offered medical expenses cover when taking out auto insurance. This will pay all medical expenses and /or funeral arrangements following an accident that is not your fault. Some providers allow you to choose the level of cover offered under the policy. Therefore a $6000 limit will allow you and every passenger to be covered up to $6000 for medical claims after an accident involving your vehicle.

No-fault insurance whilst it is mandatory in some states is only an option in others. It covers injuries and property damage in any accident regardless of who is at fault. Also known as Personal Injury Insurance it can be very expensive, and so many drivers do not bother with it.

Also available is Emergency Road Service cover which will pay for your vehicle to be towed due to breakdown.

These are just a few of the types of auto insurance available to you. You should determine what you need and shop accordingly.