Let’s talk about auto insurance. Lots of people call in and says, “I need full coverage on my vehicle.” The question is, what exactly is full coverage? There are a lot of different coverages out there—comprehensive, collision, towing, labor, rental car coverage, new car replacement, OEM parts repair. Today, we will break down exactly what is included in full coverage.
Comprehensive and Collision
What most people mean when they say full coverage is comprehensive and collision coverage. Collision coverage covers when you hit an inanimate object with your car. So if you were to drive your car into a telephone pole, that would be a collision claim. It can’t involve blood, so if you hit a person or animal, that would be a comprehensive claim. So a collision claim is when you hit something inanimate with your car, and the insurance company pays to fix your car.
Think of comprehensive coverage as something happening to your car. For example, a tree limb falls on it, lightning hits it, someone keys it in the parking lot, or you hit a deer or a person. Those are all comprehensive claims. Comprehensive and collision coverage pay to fix your car if something happens to it when it was not someone else’s fault.
Roadside assistance is a great coverage to have, and is not very expensive. This coverage will give you gas if you are broken down on the side of the road, it will pay for towing, and will generally cover some quick repairs by the side of the road like jumpstarting or getting your car unlocked. However, you don’t want to have a lot of those claims. If you do, the insurance company might not be happy with you and might adjust your rates. In the event that you need it, though, it is a great coverage to have.
Better Car Replacement
Better car replacement is where they upgrade your vehicle in the event you have a claim. If you have a claim, most insurance companies are going to do a good job giving you the value of your car. However, there’s a problem. No one ever thinks that their car is worth the same as what someone else thinks it is worth. For example, if I am selling a car, I am going to want to sell it for a lot more than you are willing to pay for it. And if I were to wreck my car, I would think there is no way I am going to get a car exactly like it. What better car replacement coverage does is upgrade your car. This way, you get what you think your car is worth, not what it is actually worth.
Those are some of the coverages you need to consider so you know exactly what to ask about to make sure you are getting the auto coverage you need.
If you need car insurance in Johnson City or the Tri-Cities, or if you just want to see if we could save you money on your auto insurance, give us a call at (423) 292-4142. Tammy will give you a quick and free quote over the phone. Voted Johnson City’s best auto insurance, we will work with you to make sure you, your family, and your car are properly protected.