Auto Insurance Ossining

Five types of automobile insurance

Automobile insurance is a required “to have” in most states. Individual states prescribe minimums on the amounts of coverage drivers are required to maintain to operate a vehicle legally. While that minimum amount of insurance coverage is a threshold for legal driving, it is in no way a recommendation for adequate individual coverage; it’s only a bare minimum for insurance coverage. Your specific exposure to liability may require more than just basic liability insurance. Here are some ways to know what type of insurance is right for you.

Liability. Liability insurance protects you when you’ve experienced an automobile collision and the circumstances of the accident can be attributed in whole in part to your actions. Liability insurance pays the cost of repairing property damaged in the accident as well as any medical bills incurred from injuries sustained in the crash. Any claims against you that exceed the total amount of your coverage will be your responsibility. In this sense, it is wise to carry more insurance than the minimum required by your state to protect you more fully.

Collision. Collision insurance pays to repair or replace your car when it is damaged or destroyed in a crash. Collision insurance is often a requirement of your car’s loan or lease agreement, as your lending source remains a lienholder until the loan is paid or the lease is satisfied. The cost of collision insurance may vary based on the make, model, and year of the vehicle. For instance, collision insurance on a brand-new luxury car will be more expensive than collision insurance on a ten-year-old economy car. In fact, if your vehicle is older or in dodgy shape as it is, collision insurance may cost you more than the vehicle is worth in replacement value.

Comprehensive. This type of insurance, comprehensive insurance, pays you when damage occurs to your car that is unrelated to a crash, like damage from a falling tree or from hitting an animal in the road. Collision coverage won’t apply in these circumstances (as it wasn’t a traffic accident with another car), but comprehensive insurance has you covered. Comprehensive insurance coverage may be expensive to carry, and is usually necessary only if the car is very new or very unique.

Personal Injury. Personal injury insurance coverage is an important consideration when building an automobile insurance policy that is right for you. Personal injury protection (PIP) is not available in every state, but where it is available, it is a valuable insurance option. The costs for injuries to you or your passengers in the car after an automobile crash can accumulate quickly and rapidly get overwhelming. A personal injury insurance policy assures that these costs will be covered no matter who is determined to be at fault for the crahs.

Uninsured and underinsured. Minimum liability coverage amounts vary from state to state; some states have established relatively high liability coverage amounts while others have surprisingly low requirements. It’s not unheard of also to encounter a completely uninsured driver in an automobile accident. An uninsured or underinsured driver may not be able to cover any or all of the damages incurred, leaving you the costs and responsibilities of making yourself whole again. This type of insurance is relatively inexpensive and maximally valuable.

Luis Guerra Agency LLC offers flexible coverage to help you save money on auto insurance in Yorktown, NY. We have a variety of options for all sorts of automobiles and drivers. We provide business auto insurance for company cars, trucks and vans; collectible auto insurance for antique and classic car owners; personal auto insurance for all drivers, young and old alike. With our low rates and comprehensive coverage, you could save on auto insurance now more than ever before.