It is vitally important to get the right car insurance for you. There are a large number of companies out there that offer very competitive rates and you will have a lot of options when it comes to choosing your policy. But before you get to that stage, you must first understand exactly what basic car insurance covers.
Personal Liability Insurance
This is the basis for auto insurance policies. Personal Liability Insurance covers you in cases where you have injured somebody in a car accident or you have damaged someone else's property. In other words, things you are liable for.
PIP and Medical Coverage
Personal Injury Protection, or PIP, offers a little more protection than medical coverage. Mainly, that it pays out in situations where there has been a loss of income or the person has incurred rehabilitation costs. Medical coverage is a vital component to car insurance, and is something all motorists should consider when deciding which policy to go with.
Other Types of Coverage
There are many other types of insurance that may not be covered by a basic package but will be available to you in a more comprehensive policy. These include:
- Comprehensive Coverage: this covers damage to your car such as windshield damage or fire. It also covers theft, vandalism and occurrences considered to be 'acts of god' such as flood damage. Comprehensive Coverage covers any physical damage that is not related to a collision.
- Collision Coverage: this will cover you if you hit a stationary object, such as road side bollards, or parking barriers.
- Roadside Assistance: this covers you for break down assists, this can be really handy especially if you are someone who often uses their car for long trips on empty highways. If you break down and you have this coverage, you will be towed back to safety.