While each car insurance policy is unique, the fact is there are many similarities between each policy. Therefore, we are going to discuss some of the basic types of car insurance coverage in this article. While your policy may be different, this article will provide a good foundation for understanding the different types of car insurance.
The first type of car insurance, Personal Injury Protection, is the insurance that covers the car driver and his or her passengers. If a person is found to be at fault, their insurance will usually be responsible for paying for the medical treatment of those individuals who were injured.
The second type of car insurance, Property Distress Liability, is the insurance that covers damage that is done by your vehicle. While the majority of these claims involve other vehicles, this category can also include stationary objects such as light posts and fences.
The third type of insurance that we will discuss is Collision Car Insurance. This type of insurance will cover the damage done to your vehicle. Usually, collision insurance will have a deductible, which must be paid before the insurance company will approve your claim.
The fourth type of car insurance is Uninsured or Underinsured Motorist coverage. This type of insurance is used when you are involved in an accident where the other motorist is at fault and they failed to maintain adequate (or as is often the case, no) car insurance.
The last type of coverage that we are going to discuss today is Body Injury Liability. Very simply, this is the insurance that covers the injuries of others. Therefore, failure to maintain adequate bodily injury liability insurance can expose you to a financial catastrophe if you were ever to get into a car accident where there are serious injuries.
In conclusion, we believe these brief definitions will help you better understand the world of car insurance. If you should have any further questions you could visit the cheap car insurance for young drivers guide or the cheapest car insurance for women Guide.