by Valerie Hawkins
Chances are, if you own a car, and you’re a law-abiding citizen, you have auto insurance. And although auto insurance is one of the most common types of insurance out there – there are a lot of icky, confusing terms that go along with it.
But don’t let insurance mumbo-jumbo get you overwhelmed. My goal is to explain the three most common types of auto insurance coverages without putting you to sleep.
Here goes nothin’…
Protects you if you cause damage to others and/or their stuff.
Liability can help cover another person’s medical bills or costs to repair their vehicle and property damaged from the accident.
Most states have legal minimums to how much liability coverage you must have. It’s often a good idea to carry more than what’s required, to decrease your chance of high out-of-pocket costs later.
Covers your car if you hit another car, person or non-moving object (like those darn ornamental rocks cousin Todd has at the end of his driveway). #TrueStory
Collision coverage helps cover costs to repair your vehicle regardless of fault. Collision does not cover if you hit an animal or if your car breaks down because it’s really old and untrustworthy.
Are you still awake? Ok, good.
Protects your car from things other than liability and collision, like theft, vandalism, fire, severe weather, hitting Bambi (don’t worry, he’s fine), etc.
Comprehensive coverage is typically sold alongside collision coverage. Think of them as peanut butter and chocolate. Ok on their own. But together, magic.
Sometimes, when you have more questions than answers on confusing insurance terms, it might seem easier to do nothing at all. So, whether you’re protecting the things you love or preparing for tomorrow, don’t get overwhelmed, get started.
COUNTRY Financial® is the marketing name for the COUNTRY Financial family of affiliated companies (collectively, COUNTRY), which include COUNTRY Life Insurance Company®, COUNTRY Mutual Insurance Company®, and their respective subsidiaries, located in Bloomington, Illinois.
Auto insurance policies issued by COUNTRY Mutual Insurance Company®, COUNTRY Preferred Insurance Company® and COUNTRY Casualty Insurance Company®, Bloomington, IL.