That question will depend entirely on what you mean by coverage. There are many different coverage types that are packaged by auto insurance companies. These can be divided into two categories, namely coverage of harm and damage that you sustained from others and coverage from harm and damage that you received from others. Some are considered mandatory in many states while others will depend on your discretion. Below are a few examples of the different types of coverage and a short description of them.
Bodily Injury Liability
Bodily injury liability is an insurance that covers another person’s bodily injuries or even deaths that you might be responsible of. Different claims for this could range from medical bills to loss of income of the victim. Remember though that bodily injury liability covers only the injury to people and not on your vehicle. Most states in the America require motor vehicle owners to have Bodily injury liability. Not only does bodily injury liability save the driver from thousands of dollars, it can also be used to help cover judgments against you in future lawsuits without having to rely on your personal finances.
Property Damage Liability
Property damage liability is an insurance that covers another person’s property. In most cases it is the vehicle that is covered but is not necessarily confined to that alone. If your vehicle does do damage to any property such as home property (furniture, Backyard etc.), property damage will usually be able to cover it. Different types of property can also be covered here such as a person’s house or gate. A good advice is to get enough insurance here to be able to cover the damage of another vehicle in order to provide you with a solid legal defense if ever that problem arises.
Physical Damage Coverage
Physical damage coverage covers your vehicles and in some cases other vehicles too. This coverage applies to when your car receives damages from a number of reasons such as natural disasters, animal attack s or theft. Physical damage coverage will help pay for different damages done o your vehicle but it does not cover damages from a collision.
Collision Coverage
Collision coverage covers the damage that your car sustains when it hits or sustains a hit by a vehicle or object. The coverage will pay for the repairs to the damage done to your vehicle minus a deductible of your choice. This coverage is not necessarily required by the state but still is a good idea to have.
