Auto collision insurance is part of complete automobile policy, along with personal injury coverage, and liability coverage. You have a limited coverage if you do not sign up for all three. What do these types of insurance exactly do?
Personal injury takes care of medical expenses and passengers who got hurt in a road accident. On the other hand, liability coverage covers third party losses including damage to property, medical bills, and wage loss brought about by a mishap. Finally, vehicle collision coverage pays off or reimburses costs of vehicle repairs, whether or not the accident is your fault. As long as there are injuries or damages, they can be claimed. Your insurer may even replace your auto in case it is irreparable.
The law does not require drivers to get auto collision insurance. You have the choice to get it as an addition to the mandatory liability coverage. However, not getting it means you will shoulder all expenses in case your car gets involved in a mishap. This will definitely make your pocket depressed.
Car collision policy is highly recommended if you drive everyday going to school or work or for long travels. The reason is that if you spend more time on the road, there are higher possibilities that you will get into a vehicular accident. Unless you have already established you are reliable behind the wheel through your driving history.
If your driving history shows you are high-risk driver, for example having the tendency to drive recklessly, then you should get auto collision insurance as soon as possible. Getting one will save your credit and also your car.
In general, car collision insurance is a costly policy. However, there are many ways to get a lower premium rate. One tip, and it is common sense, is to maintain a good driving record by keeping road violations at a minimum. Insurers will take note of this responsible attitude and may lower the premium. Increasing your deductible is another way to get a less expensive policy.
Similar to other insurance products, the following factors can help you get low rates: your gender and age, model and age of your car that you drive, your location, your driving records including traffic violations (as already mentioned) and mileage, among others. You should ask around and compare quotes. Go online and collect quotes for free. Then review them carefully before choosing which auto collision insurance package best fits your needs. This product is important since it could save your bank account and sanity in case some untoward incident occurs while driving your car.