A great way to think about full coverage is, Collision protects your car in at-fault accidents and comprehensive protects your car in non at-fault accidents.
The two coverages that give you "Full Coverage" are Collision and Comprehensive. Additionally, there are also some optional coverages that folks have the ability to choose as well.
Collision Coverage
Your Collision Coverage is intended to cover an accident you create. With the sole purpose to repair or replace your vehicle. Without this coverage selected you would have to pay out-of-pocket to fix or replace your vehicle. Collision covers you if you crash into another vehicle or object. It’s these types of claims that can and often do increase your premiums. Most insurance companies will raise your rates due to an at-fault accident. One special circumstance that falls under a collision loss but will typically not count against you or raise your rates is a hit-and-run accident. The reason being is that the insurance company has no one to go after for damages.
Comprehensive Coverage
Comprehensive coverage on the other hand is designed to cover accidents that are NOT your fault. For example, maybe you were just in the wrong place at the wrong time. Like a hailstorm, a tree branch falling on your car and vandalism. Typically, broken windshields are also covered under comprehensive coverage however some insurance companies offer “glass coverage” as its own special coverage with no deductible. Keep in mind comprehensive coverage is a physical damage only coverage. Sometimes folks will assume Comprehensive protects the contents in one’s car and unfortunately it will not. If something is stolen from your vehicle your property insurance will be the policy that would afford you the coverage. But keep in mind if $250 worth of stuff is stolen and your Homeowner’s deductible is $500 it might not make sense to file the claim. So, make sure you’re mindful of that as claims on property policies will increase the rate, no matter the claim.
Rental Car Reimbursement
The next elective coverage that is good to understand is “Rental Car Reimbursement”. This coverage only comes into play when you have an accident that is a covered loss not when you need a rental car on vacation. Additionally, Rental Car Reimbursement Coverage will only reimburse you for a period of time, which is typically 30 days.
Medical Payments Coverage
Another elective coverage worth understanding is “Medical Payments Coverage”. This coverage pays an allotted sum to you and anyone else in your vehicle that experiences bodily injury from an accident, weather it’s your fault or not. This money is designed to pay for initial medical bills like the ambulance ride, hospital stays and X-rays on the front end of the claim process.
Roadside Protection
Roadside protection or towing coverage is another great optional coverage. Typically, this coverage will reimburse you up to a certain amount for a roadside claim. Other than needing a tow, Roadside Protection will also cover things like jump starts, replacing flat tires, having someone bring you gas, or a new battery, and unlocking the keys out of your car. Just keep in mind that if the cost of the service goes above the threshold that is “covered” you will be out of pocket for the difference.
Uninsured/Underinsured Motorist Bodily Injury Coverage
The final elective coverage we’ll discuss is “Uninsured/Underinsured Motorist Bodily Injury Coverage”. This coverage works just like Bodily Injury Coverage but it’s the coverage you essentially pay to yourself if someone hits you, injures you and they have very little or no coverage at all. This amount will pay for your medical bills, rehabilitation, time out of work and physical therapy if you’re hit by someone with little or no coverage.