Comprehensive car insurance is often misunderstood by drivers. Some drivers think that comprehensive coverage will handle all damages to a vehicle, in an accident or due to acts of God and other unexpected circumstances. Others confuse comprehensive coverage with collision insurance or even liability insurance coverages. In order to buy a trustworthy car insurance policy, you should be very clear as to what comprehensive car insurance coverage is and how it works to protect your vehicle. Here's a look at what the coverage handles–and perhaps more importantly, costs that it won't cover.
Basic comprehensive coverage will pay for damages to a vehicle caused while the vehicle isn't being driven. If another driver hits your parked car, or if a tree falls on the car, for instance, your comprehensive car insurance should pay for the costs of the repair. Certain types of on-road accidents may also be covered, for instance, hail damage to your car while you're driving through a storm. It will also pay for auto theft, which is one of the largest costs that car insurance companies and drivers deal with. Comprehensive car insurance varies from one insurance company to the next, but generally speaking, it will cover any damages to a vehicle besides those caused by a car accident.
Comprehensive car insurance coverage is not the same as collision insurance. This means that your comprehensive coverage won't usually cover damage to your car in an accident, regardless of who was at fault in the accident. However, collision insurance and comprehensive car insurance coverage are often bundled together; this results in some confusion amount some drivers, who interpret the "comprehensive" part of this special coverage to mean "all encompassing." A good, large amount of both comprehensive and collision coverages are necessary for any driver that wants to keep a vehicle protected. Most drivers buy comprehensive and collision insurance equal to the value of the vehicle being insured.
There are a number of other costs that won't be covered by your comprehensive car insurance coverage. Comprehensive coverage can't pay for damage to other vehicles, for instance, and it certainly won't cover medical bills. To better understand your comprehensive coverage, you should carefully read your car insurance policy. Look for exclusions in your comprehensive coverage, which are situations which would preclude payout on a claim. Make sure that you understand and agree with all of these exclusions. If you're looking at car insurance quotes, be sure to buy an appropriate amount of car insurance coverage in all areas, including comprehensive coverage, to protect yourself and other drivers both on and off of the road.
