Protecting You & Your Assets on the Road
Understanding Auto Insurance Coverages
Driving always comes with some level of risk. Auto insurance can help protect you and others should you have an accident while driving. Understanding auto insurance coverage can be complicated and our O’Donoghue agents can help you through the choices and secure the right coverage for your needs. Certain risk coverage is required by most states and certain supplementary coverage is required by your auto loan financing company.
WHAT ARE THE COVERAGES?
Bodily injury provides protection if you injure someone while driving your car. It also covers your legal fees if someone files a lawsuit against you as a result of an accident. Should you suffer a serious accident, you want enough insurance to cover a judgment against you in a lawsuit, without jeopardizing your personal assets.
Medical payments, no-fault or personal injury pays for the medical expenses of the driver and any passengers in your car.
An uninsured motorist pays for your injuries caused by an uninsured driver. In some states, this coverage will reimburse you for damage to your vehicle.
Comprehensive coverage pays for losses resulting from incidents other than collision. For example, comprehensive insurance covers damage to your car if it is stolen or damaged in any way while not under your control. This insurance premium can be kept low by having a higher deductible.
Collision coverage pays for damage to your car when your car hits, or is hit by, another vehicle or other object.
Property damage protects you if your car damages someone else’s property.
In addition to these basic coverages, some worthwhile additional coverage may be right for you:
Emergency Road Service also known as roadside assistance, provides assistance if your vehicle breaks down or becomes disabled while you're on the road. This coverage typically includes services such as towing, battery jump-start, tire changes, fuel delivery, and lockout assistance.
Rental Reimbursement helps cover the cost of renting a vehicle while your car is being repaired after an accident covered by your insurance policy. If your car is in the shop for repairs due to a covered loss, this coverage typically reimburses you for the cost of a rental car up to a daily limit and a maximum total amount.
Mechanical Breakdown Insurance (MBI) provides coverage for the repair or replacement of certain mechanical components of your vehicle that fail due to normal wear and tear. Unlike traditional auto insurance, which primarily covers damage from accidents, MBI extends coverage to mechanical failures, such as engine or transmission problems.
It may seem like there’s a lot to understand about auto insurance coverage. If you have any questions about auto coverages or anything else regarding your policy, contact our licensed insurance agents.