Having a vehicle should allow you to apply for auto insurance. You will hear two terms in it, collision and comprehensive coverage. But what does collision and comprehensive insurance cover exactly may be confusing since they are two different things.
However, both of them are components that you should check before applying for auto insurance for your car. It is the basic insurance in every auto insurance policy. So, you have to discuss with the agents or brokers from the company you choose.
Do you have any idea yet about the two coverages? Check the differences and the coverages between those two types of insurance below.
The Differences between Collision and Comprehensive Insurance
1. Collision insurance
Collision insurance is the insurance that you can claim from the insurance company after your car suffers from a collision. Usually, the company will charge the clients with deductible products. It will cover the losses. An example of a collision is when your car fips or goes into a ditch.
What does collision and comprehensive insurance cover are different, but collision is more into the insurance to cover the damage because the mistake is something you can control. Usually, the insurance has these benefits already as basic coverage.
2. Comprehensive insurance
Comprehensive insurance is when the accident to your car is because of a disaster you cannot control. The damage is inevitable, so it will be covered with comprehensive policies. Your car will get some repairs based on the damage. This is what does collision and comprehensive insurance cover different.
The subject comprehensive insurance is always deductible. You will pay the deductible amount for the repair, and after that, the insurance company will cover the rest. This comprehensive car should be in the policies, so a great discussion should be in consideration with the agents or brokers.
What Does Collision and Comprehensive Insurance Cover?
1. Collision coverage
What collision and comprehensive insurance cover are different. The collision coverage is limited and the insurance companies may have different policies about this. However, the coverage at least should include the cases below:
This case is when your car has crashed with another car. Even when you are parking and another car crashes, you can claim the benefit from your insurance company. You can ask for some proof such as CCTV or another video to claim.
· Collision to object
Some objects on the road are dangerous for you when you crash into them such as poles, trees, and traffic lights. If your car crashes into those objects, you can claim. What does collision and comprehensive insurance cover should be in the detail, especially the collision policy.
· Falling car
Some cars are falling into a pothole and ditches. Sometimes, it is the driver’s mistake because they can’t avoid it. However, in some cases, it is inevitable because of road conditions. This accident will be covered by collision insurance.
· Car flip
When you are driving and your car flips because of top speed or another car crash, you are eligible to claim the insurance. It may be the biggest coverage of what does collision and comprehensive insurance cover. With a high limit, you can repair the car with peace of mind.
· Hit and run case
The hit-and-run case is also part of what does collision and comprehensive insurance cover in collision insurance. If the uninsured motorist’s coverage cannot cover this, then the collision coverage will cover it.
2. Comprehensive coverage
What does collision and comprehensive cover include disaster as part of comprehensive insurance? Disasters such as a flood and fires are inevitable and uncontrollable. You can claim for the damage your car has.
• Fallen tree
When your car is parked under a tree, then the tree is falling, and the damage can be covered with comprehensive insurance. The fallen tree can be caused by strong wind and it’s part of the disaster.
• Hitting a deer
Hitting a deer while driving is what does collision and comprehensive insurance cover. Since the deer is quite strong, an accident with them might result in some damage to the front part of your car.
Vandalism because other parties, can claim the damage with comprehensive insurance. They will pay for the repair to make your car look good again.
Theft is also an uncontrollable case. You can claim the damage to the car insurance. However, it can be different in terms and conditions of each company. Therefore, you have to discuss the policies beforehand.
The Cost Factors of Collision and Comprehensive Insurance
1. The State
Each state will have different costs from the same insurance company. The risk of what does collision and comprehensive insurance cover will be different since other states might be less crowded and disastrous than others.
2. Vehicle type
Vehicle type is the most important part that will be a cost factor to determine what does collision and comprehensive insurance cover. For a high-end car, the insurance will be more expensive because the liability coverage is also high, for both collision and comprehensive.
The most important from collision and comprehensive restaurant is the priority. Usually, the insurance company will give priority if the car is loaned or leased. It will lighten the cost for the driver if the case in what does collision and comprehensive insurance cover happened.
4. Total coverage
The total coverage for each car will be different. The collision coverage will always be bigger than the comprehensive. The collision coverage is tenfold of the comprehensive coverage. The comprehensive damage is not big and you might have to prepare in case the damage is in this category.
The coverage from both collision and comprehensive is very important for the car. They should be in auto insurance policies, so you have to ensure that the agents or brokers explain this to you. Usually, both insurances are not separated.
What does collision and comprehensive insurance cover will give you benefits when the accident, controllably or uncontrollably happened. The repair of the car takes a lot of money. The insurance gives the best protection from the damage and compensates your cost to fix it.