Coverage that helps pay for damages you cause
There are mainly two different varieties of liability coverage in auto insurance. In most states, both liability coverages are mandated by law.
- Liability for bodily injury: This coverage could assist in covering your subsequent legal costs as well as the injured party's medical expenses and lost wages in the event that they sustain injuries as a result of an automobile accident you caused. This insurance frequently has two distinct limits: one for each injured person ($50,000, for example) and another for each accident ($100,000, for example).
You can learn more about liability for bodily injury by consulting your local insurance representative. Alternatively, you can visit the Allstate Insurance website and read the resources provided.
- Property damage liability: This insurance can shield you if your car damages someone else's property, for instance, a fence or garage door. You may not have to compensate the other party's damages out of your own funds if property damage coverage helps reimburse them for their losses.
You can learn more about property damage liability coverage by consulting your local insurance representative. Alternatively, you can visit the Allstate Insurance website and read the resources provided.
Coverage that aids in defending you in case of injury
- Personal Injury Protection (PIP): Should you be injured in a car accident; this coverage might assist in covering your health insurance policy’s excess amount (if this is applicable to you) as well as any additional medical expenses that go beyond the limitations of your health insurance policy. In addition to this, while you are recovering, this insurance may assist in covering your lost income and "loss of services," such as picking up your children from school. In the worst instance, PIP might assist in paying for your funeral costs. However, please note that not all states offer PIP.
You can learn more about personal injury protection coverage by consulting your local insurance representative. Alternatively, you can visit the Allstate Insurance website and read the resources provided.
- Medical expenses: Similar to PIP, this insurance may assist in covering your post-auto accident medical expenses. However, this insurance extends to cover your passengers and any family members who were in the vehicle at the time of the collision. Additionally, this coverage can assist in covering medical costs if you or a member of your family is hurt in a pedestrian accident or while riding in another vehicle.
Coverage that helps protect you from drivers without insurance
- Uninsured/underinsured motorist: If you are hit by a driver who does not have auto insurance or whose policy limits are insufficient to fully cover the extent of the accident, this coverage may be able to help safeguard you. Depending on the insurance requirements in your area, it can also help cover the cost of any vehicle damage in addition to your medical expenses.
Coverage that helps protect your vehicle
- Collision: This coverage might assist in defraying the costs should you need to replace or repair your car as a result of a collision with another car or item.
You can learn more about collision coverage by consulting your local insurance representative. Alternatively, you can visit the Allstate Insurance website and read the resources provided.
- Comprehensive: This type of insurance coverage might help cover the costs related to non-auto accident-related damage to your vehicle. Examples include theft, animal-related damage, fire, and fallen objects.
You can learn more about comprehensive coverage by consulting your local insurance representative. Alternatively, you can visit the Allstate Insurance website and read the resources provided.
- Guaranteed Asset Protection (GAP): You will normally receive reasonable value for your car from your insurance carrier if it is stolen or completely wrecked in an accident. But if you are still in debt to a lender or financial institution more than the automobile is worth, GAP insurance may be able to help you get paid the price difference.
