Car Insurance Basics

You will see more and more cars on the road every year. As this number goes up, the possibility of accidents also goes up. If you get in a car accident, the car insurance you have can make a large difference in the experience you have. But why is insurance necessary and just how much do you need? Insurance requirements vary by state/province, but usually include the following: Liability: It pays for expenses due to personal injury and property damage to others that you are responsible for. It also covers your legal fees if you are sued. Recommended, higher levels of liability insurance are available that take care of more events than the stripped-down, state-mandated insurance. Personal Injury Protection: Personal injury protection pays for the medical treatment for you and other people in your car, no matter who was at fault in the accident. It is required in some states and optional in others. This insurance can also pay for lost earnings, service replacement and funeral costs. The minimum amount of this insurance is usually set by the state. Medical Payments: This type of coverage can be purchased in non-no-fault states and will pay no matter who is responsible for the accident. This insurance will pay for an insured person's reasonable medical and funeral expenses for bodily injury from an accident. Collision: Pays for damage to your car caused by a collision. Comprehensive: Applies if your car is stolen or damaged by causes other than a collision, including fire, wind, hail, flood or vandalism. Uninsured Motorist: Pays for repair and replacement costs when an insured person is in an accident caused by a driver who does not have liability insurance or by a driver who cannot be identified (usually a hit-and-run driver). Under-Insured Motorist: Many drivers have liability insurance that can't pay for all the expenses they are supposed to take care of. This type of insurance covers you in accidents involving those drivers. Other types of coverage, such as emergency road service, can also be purchased. Auto Insurance Clermont