Financial Security and Your Home Insurance Policy
Each year, more cars and drivers are on the roads. As this number increases, the possibility of accidents also increases. If you get in a car accident, the auto insurance you have can make a big difference in how much you have to pay. But why is insurance important and just how much should you get? Your insurance may be able to pay for the expenses from a car crash ranging from hospital bills to replacement costs. No matter where you live, you will need to buy some type of auto insurance. Electing to drive without owning insurance could mean you have to repair or replace a stolen or damaged vehicle and pay the cost of all the damage that you may have caused. Liability: Bodily injury and property damage that you have caused will be covered under liability insurance. It also covers your legal fees if you are sued. Recommended, more comprehensive levels of liability insurance can be purchased that take care of more events than the lower, state-mandated varieties. Personal Injury Protection: This type of insurance pays for hospital bills and other medical treatment for you and your passengers, regardless of who was at fault in the collision. It is sometimes referred to as no-fault coverage. Local law usually sets minimum amounts. Medical Payments: This type of coverage is available in states that are not considered no-fault and will pay regardless of who is responsible for an accident. All necessary medical or funeral expenses will be paid for under this type of policy. Collision: Damages that occur from a collision will be paid for under this kind of insurance. Comprehensive: Applies if your car is stolen or damaged by causes other than a collision, including fire, wind, hail, flood or vandalism. Uninsured Motorist: If you are in an accident with a driver without insurance, this type of insurance will protect you. Under-Insured Motorist: This pays for damages when an insured person is in a crash caused by a driver who does not have enough liability insurance to cover the total amount of the damages. Other policies, such as car rental, are also available. Your auto insurance payments vary by company and will depend on several factors, including: *Your desired coverage *Your vehicle's make and model * Your driving record * Your age, gender and marital status * Where you live Many people think of auto insurance as a necessary evil, but it can rescue your finances. Review your needs, do your research , and with the help of your insurance agent, make the decision that best suits you. State Farm Clermont