Accidents happen. But are you covered in the event that your vehicle is damaged, or if you cause damage to another vehicle? An auto insurance policy will help get you quickly get back on track if your car is destroyed or damaged by events such as an accident, theft or fire. You can get protected from medical or legal expenses that are the result of loss of life, injury or property damage caused by your vehicle.
Auto insurance policies are contracts between the insured and the insurance company. Insured individuals pay a set premium, and in turn, the insurance company pledges to pay for specific vehicle-related financial losses during the policy term. An auto insurance policy will bring peace of mind by providing you with financial security should something happen to your vehicle, or should you cause damage with your vehicle.
State governments often mandate auto insurance for drivers in their state, but the details of these requirements can vary. For instance, in Texas, you must have liability insurance (at a minimum) in order to drive. We provide insurance in Frisco, Texas and would be glad to help you find just the right coverage in your area.
Although some states provide limited coverage, that law stipulates that drivers must be able to pay for losses they may cause others. Having an insurance policy is the easiest way for most people to comply. In order to finance a car, it is typically necessary to have an insurance policy which covers any damage to your vehicle. This coverage would include:
Collision insurance pays for any damage caused to your vehicle in the case of an automobile accident. Collision insurance will cover any repairs up to the specified fair market value of your vehicle. Collision coverage usually is provided within an insurance deductible. A deductible is the amount of money you pay beforehand toward any future repairs before your collision insurance policy begins. If you pay a higher deductible in the onset, your collision coverage will cost less.
Comprehensive Insurance (Other than Collision)
Comprehensive insurance covers any damage that is done to your car in any event other than a collision, such as if it the car were stolen or vandalized. Hurricane, flood, theft, fire and windshield damage are typically also covered by comprehensive car insurance.
If you have a car that is financed, you will likely need comprehensive coverage, even though it is not legally required in any state. Comprehensive coverage, like collision, will reimburse you up to the amount of the specified fair market value of your vehicle (less your deductible). Every person’s insurance needs are unique – talk to us today to see how you can get the best value and price on your auto insurance.
The Fite Agency provides insurance for your classic car, motorcycle, motor home, RV, boat, jet ski, or ATV! If you have any questions, contact us today.