The Basics of Auto Insurance Coverage - What Insurance You Should Be Buying

S Edmond ElDabe

Written by

Personal Injury Lawyer

Contributor Level 13

Posted over 4 years ago. Applies to California, 3 helpful votes

Email

1

Pay for Bodily Injury Liability Insurance Coverage

Bodily injury Liability provides protection if you injure someone while driving your car. It also provides you with an attorney if another party in the accident files a lawsuit against you in court In the event of a serious accident, you want enough insurance to cover a legal judgment against you in a lawsuit, without risking your personal assets. Bodily injury liability covers injury to people, not your car.

2

Pay for Medical Payments Coverage

Medical payments coverage usually will pay for the medical expenses of the injured driver and passengers in your car, including you. It will also usually pay for medical expenses if you are by a vehicle as a pedestrian. Get it...it is not too expensive and you will benefit.

3

Pay for Uninsured Motorists coverage

This is the most valuable type of insurance coverage you can obtain. Uninsured motorists coverage pays for your injuries caused by an uninsured driver or a hit-and-run driver. Better yet, in California, it functions as UNDERINSURED motorist coverage, which means that if you are seriously injured by another driver, your coverage will kick in to cover you after the other driver's insurance has paid its policy. Given the large number of uninsured motorists, this is very important coverage to have, even in states with no-fault insurance.

4

Pay for Comprehensive Damage Coverage

Comprehensive physical damage coverage pays for damages and loss resulting from accidents other than collisions with other cars. For example, it covers damage to your car if it is stolen; or damaged by water or fire or animals.

5

Pay for Collision Coverage

Collision coverage pays for damages and loss to your car when your car hits, or is hit by, another vehicle or other object.

6

Pay for Property Damage Coverage

Property damage liability coverage protects you if your automobile damages someone else's property. For example, if you knock down a sign crash into a wall and break the wall. It also provides you with an attorney if another party in the accident files a lawsuit against you in court

7

Pay for Rental Coverage

Rental coverage pays for a rental car (usually up to $25 a day) when your car is out of commission or being repaired as a result of a loss covered under the coverages above. Many people don't purchase this coverage and end up regretting it when they need it.

Additional Resources

Los Angeles Accident Injury Lawyers

Orange County Accident Injury Attorney

Rate this guide

Can't find what you're looking for? Ask a Lawyer

Get free answers from experienced attorneys.

 

Ask now

28,903 answers this week

3,105 attorneys answering