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| Auto Insurance - What's In Your Policy | ||||||
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The value of auto insurance cannot be stressed enough. If you are an uninsured driver involved in an accident, you may face thousands – possibly millions – of dollars in expenses, depending on the severity of the situation. So you’ve purchased auto insurance. That’s good. Even more important, however, is knowing what that auto insurance covers if you are involved in a wreck or find your automobile broken into. The basics of auto insurance include liability, property, medical and under/uninsured motorist coverage. Liability coverage pays for bodily injury or property damage claims to those you are legally responsible for. This coverage takes care of the damage you cause to someone else or his or her property. Property coverage compensates for damage to or the theft of your car. Two types of property coverage include collision and comprehensive. Medical coverage is responsible for the treatment of injuries to the driver and passengers of the policyholder’s car. Coverage is provided regardless of whether the individual is a passenger or struck as a pedestrian. Uninsured motorist coverage reimburses you if you are hit by an uninsured driver. Underinsured motorist coverage provides compensation if the party at fault does not have adequate coverage to pay for your entire loss.
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