If you are shopping for auto insurance you may be wondering what kind of coverage you need. Auto insurance can be tricky since there are a variety of different policies and coverages available to choose from. You want to make sure you have enough coverage to pay for any financial loss that may occur because of an accident. Below are some tips that will help you to decide what coverage you need.
One type of coverage is liability coverage. This coverage will protect you if you cause an accident. It will also pay the other driver or his insurance company if you are at fault for the accident. Liability coverage can be low or it can be high, it depends on your place of residence and your driving record.
Another kind of coverage is personal injury. Personal injury protection will cover any medical costs you incur as a result of an accident. This includes repair or replacement of your vehicle. In the state of Washington personal injury protection is required if you own a car. However, it is optional for drivers in other states.
Another type of coverage is collision coverage. This coverage will pay for repairs to your vehicle due to an accident. The cost of this coverage does not change if you have uninsured motorist coverage. Collision coverage does not pay to repair your vehicle if you have damages other than the ones caused by the accident. It only covers the other party and their medical expenses. So if your vehicle is damaged by an insured person other than yourself, this coverage will not pay for the repairs.
Third party coverage will pay for damages that you or someone else may cause in an accident. This may include damage to another person’s property or that of another driver. It also covers legal fees that may be assessed against you in the case of an accident. This coverage differs slightly from liability coverage, because it does not provide for the other parties medical expenses or damages.
All states require some form of medical payments coverage. Most states require personal injury protection, which pays for medical expenses up to a certain amount for a set period of time in the event of an accident. You should check with your provider to find out what the minimal amount is in your state. Medical payments coverage will typically cover the costs of treatment up to the amount that is maximum for the state. This limit will vary from state to state, so checking with your provider is important.
When you are looking for insurance you must always understand the state requirements for what type of coverage you are required to have. Each state has a minimum requirement on the types of coverage that are required. For example, in Washington it is required that you have at least liability auto insurance, but there is no legal limit on the amount of medical payments coverage that you can have. In some states, drivers must have both collision and medical coverage.
Minimum coverage is often the bare minimum that is required. Although this coverage is not very expensive, it will not provide you with much protection if you get into an accident. You can expect to pay a few hundred dollars per month for liability coverage, and several thousand dollars for medical payments coverage. Therefore, it is important to know what coverage do I need for auto insurance before you purchase a policy. Your current coverage may not be sufficient enough, and switching to a new policy can make a big difference in protecting your financial assets.