What Are the Different Types of Car Insurance?

If you have a car, it is important for you to do everything you can to protect it. This means taking it to the shop regularly, avoiding motor vehicle accidents, and getting the right car insurance. At the same time, there are lots of car insurance policies available. Therefore, you need to make sure you purchase the right one for your car. You might be asking, “are dodge chargers expensive to insure,” but that depends on the type of policy you get. Take a look at the different types of car insurance below, and do not hesitate to reach out to a professional who can help you find the right policy for your vehicle.

Liability Only Car Insurance

By law, you are required to have car insurance if you operate a motor vehicle. A liability-only car insurance policy is the minimum level of coverage you need to legally operate a vehicle on the road. If you are involved in a motor vehicle accident, but it is the fault of the other driver, the other driver's insurance company will be responsible for paying for your damage. On the other hand, if you are involved in a motor vehicle accident that is your fault, your insurance company is responsible for covering the cost of the damage. If you have a liability-only car insurance policy, your car insurance company will pay to fix the vehicle of the other driver, but it will not pay to fix your vehicle. This level of coverage will get you on the road, but it will not give your vehicle the type of protection it deserves.

Collision Insurance Coverage

One of the most popular types of insurance policies is called collision coverage. This is a basic car insurance policy that not only protects other vehicles on the road but also your vehicle. If you are involved in a motor vehicle accident that is your fault, collision insurance coverage will pay to fix both vehicles involved. A collision insurance coverage policy will not cover everything. For example, if your car is damaged by a severe storm, such as a hurricane or a tornado, a collision insurance policy may not pay to repair your vehicle. Make sure you look at the details of the policy to understand what is covered and what is not.

Comprehensive Insurance Coverage

If you are looking for an insurance policy that will cover just about everything, you might be interested in comprehensive insurance coverage. Even though this is going to be an expensive policy, it will cover just about any type of damage you can think of. Unless you intentionally damage your vehicle, a comprehensive insurance policy should pay to fix the damage. This is also called an Act of God insurance policy because it will protect your vehicle against theft, fires, floods, and severe storms. As with any insurance policy, it is important to read the details to understand exactly what is covered and what is not. That way, you understand the protection your vehicle has.

Find the Right Car Insurance Policy for Your Vehicle

This is a brief overview of the different categories of car insurance. Keep in mind that every insurance company is going to have slightly different policies available. You need to think about your specific needs, your budget, and the type of protection you need for your vehicle. If you have questions about the different policies available, you may want to talk to a member of the insurance company to see if they can customize a policy that is right for you. That way, you have the right protection for your vehicle without overpaying.