Auto Insurance Information
The Basics of Auto Insurance
Auto insurance shields you from financial loss in the event of a collision, accident, or theft. It is an agreement between you and your insurance provider, in which you pay the premium and the insurance provider pays your losses as detailed in your policy.
Typical Insurance coverage options include property, liability and medical expenses:
- Property: covers repairs, replacement or theft of your car.
- Liability: covers your legal responsibility to third parties for property damage or bodily injury.
- Medical expenses: covers medical costs, rehabilitation, lost wages and, in the worse cases, funeral expenses.
Why is Auto Insurance Important?
You depend on your vehicle every day. Road conditions, weather, and distracted drivers are often beyond your control. Because of this, you need an Auto Insurance policy to help protect you in the event of an unexpected accident. The financial protection that an Auto Insurance policy provides is important because:
- If you’re in a wreck or your vehicle is stolen, it can cost a lot of money to repair or replace it.
- If you or any third parties are injured in a crash, medical expenses can be very costly.
- If you or your vehicle is responsible for property damage or injury to third parties, you may face an expensive lawsuit.
- All states require you to have at least liability coverage, though laws and regulations vary.
What to Discuss With Your Agent
Before buying a Commercial Auto policy, be prepared to discuss the following with your independent insurance agent:
- The type of vehicles you own.
- The members of your household that will be driving your vehicles.
- The recent claims and violations you have had.
- The insurance provider’s reputation for customer service and ability to pay claims.
- The responsiveness of the Insurance Agency staff when it comes to generating certificates, processing policy changes, and managing claims.