As a driver, you have the right to choose the types of coverage you have for your auto insurance policy, but it is very important to choose the right types so that you have the coverage you really need. While there are a lot of options to choose from, there are three types of coverage that you should never go without.
Liability coverage
The first type you should not go without is called liability coverage. In fact, if you plan on driving, having liability coverage is usually a requirement to have. All states that require drivers to have auto insurance have the requirement of liability insurance. Liability protects other people from accidents they did not cause, and not having liability insurance could land you in a big mess if you cause damage to another vehicle while you are driving.
Comprehensive coverage
The second type of coverage you should not go without is called comprehensive coverage. Adding this type of coverage to your policy is usually not very expensive. Comprehensive coverage is designed to protect you against damage that you could experience from incidents involving animal collisions, trees falling on your car, hail damage, and theft or vandalism. These are incidents you cannot predict but that can lead to a lot of damage to a vehicle. If you are covered with comprehensive insurance, you can file a claim and receive compensation for the damages if you encounter any type of accident that falls into this category.
Uninsured and underinsured motorist coverage
The other type of insurance you should have is for protection in the case that other people involved in an accident with you do not have insurance of their own, or that they do not have enough insurance. While having insurance is a requirement by law, there are people who break this rule every day. When a person without insurance causes an accident with your car, your own uninsured coverage would pay for the repairs your car needs after the collision takes place, and that is why it is so important to have this type of coverage.
If you own your car outright and especially if it is worth a lot of money, you should also add collision insurance, also called full coverage auto insurance, to your policy, as this would protect your own car if you were responsible for causing an accident that left it damaged. You can learn more about these types of coverages and others by talking to an auto insurance agent.
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