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Auto Insurance 101

Ever take a look at your auto policy...then look away the next second?
Let us help you understand what all of those words within it actually mean for you.
Liability Coverage is the most important coverage and is required in most states. Basically, if you cause an accident, hurt someone or damage someone's property, it can pay for covered damages and to defend you if a lawsuit results.
Your Policy Will Read Similar To This:
Bodily Injury Liability $100,000 per person $300,000 per accident
Property Damage Liability $100,000 per accident
Generally you will want to make sure your liability is clearly aligned with your assets and lifestyle. This is where an agent can help determine what is right for you. Please bear in mind the cost of medical expenses these days, and what realistically an accident will cost if you are at-fault. In addition, take a look at the types of cars you are driving around, that is a good sign that you may not have enough coverage if you were to hit one of them (or worse, cause a pile up!)
Medical payments coverage helps pay for covered medical expenses for anyone injured while in your vehicle, regardless of who is at fault. In selecting this coverage, keep in mind how many people you normally drive around. This is normally a fast acting form of protection for yourself and your passengers.
Uninsured/Underinsured Motorist Coverage can help pay for damages and medical costs resulting from an accident caused by someone who has no insurance or inadequate insurance coverage. It's scary to realize that some drivers on the road have no insurance or have insufficient coverage, and to help protect yourself and your family, you want to make sure you have something like this in place for those types of events.
Although you can select lower limits, we always recommend maximizing this coverage for your protection
Uninsured/Underinsured Motorist Coverage can only be as high as your Liability Coverage Limits
Comprehensive Coverage helps pay for damage to your vehicle that is not caused by a collision. Examples include theft, vandalism, hitting a deer or other animal, storms and certain natural disasters. This is normally a very cost effective coverage depending on your deductible, but helps restore you in events that are often unforeseen.
- Ask about Glass Coverage, as some companies can add this on, allowing for deductible that is reduced, or even forgiven.
- Choose a deductible with an out-of-pocket cost you're comfortable with should an accident occur.
- If you have a loan or lease, comprehensive is generally required; otherwise it's optional.
Collision Coverage helps pay for damage to your vehicle if your car hits another car or object, is hit by another car, or your vehicle rolls over. This coverage is generally required if your car is financed or leased. Learn more about collision coverage.
- Waiver of Collision Deductible is an option to purchase, and we highly recommend it! This waives your collision deductible in many cases if you are found not-at-fault in an accident, even if your car needs to be repaired.
- Same as comprehensive, choose a deductible that you will be comfortable with the out-of-pocket cost. The price however, is normally dramatically based on your deductible.
- In order to purchase collision coverage, you must also purchase comprehensive coverage.
Other Options
- GAP Insurance, also known as loan/lease insurance, can protect you if your vehicle is financed or leased. If you vehicle is totaled, this coverage may pay the difference between the actual cash value of the vehicle, and the unpaid balance of the loan or lease.
- Towing & Labor, pays for covered towing and labor costs if your vehicle is disabled, up to the limits on the policy.
- Rental Reimbursement coverage can pay for a rental car if your car is damaged in a covered accident and your car is out of commission for more than 24

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