Auto Insurance Quote

Car insurance is an arrangement between you and an insurance company providing protection against financial losses that may occur as a result of a traffic accident. Car insurance is gradually becoming compulsory for all the states. There are different types of coverage and benefits that you may receive from an insurance company. Car insurance policy consists of six types of coverage. Each type of coverage is purchased separately, and you are to decide to buy all of them or not.

Car insurance policy includes bodily injury liability, medical payment, property damage liability, collision, comprehensive, and uninsured or underinsured motorist coverage.
Bodily injury liability covers legal costs and personal injury claims in case there is damage to another man's property by means of your vehicle. It is necessary to acquire enough liability insurance so as to protect yourself from payments for serious accidents. Medical payments or Personal Injury Protection (PIP) cover medical expenses, the cost of replacing services and wages that a person may lose.
Property damage liability assists in paying for damages to someone else's vehicle, to buildings, lamps, fences, etc.
In collision coverage the insurance company makes payments when there is a collision with vehicles or objects. It covers the damage caused by potholes. This type of coverage usually includes deductible (a fixed contribution you pay each time your car is repaired through your car insurance policy).
Comprehensive coverage reimburses you for damages caused by an earthquake, flood, explosion, fire, animals, etc. If you have a car loan, lenders, as a rule, make you purchase both collision and comprehensive coverage.
Uninsured or underinsured motorist coverage saves against expenses from an accident that is caused by another individual who is either uninsured or who has incomplete insurance coverage. It protects when you are struck as a pedestrian.

Insurance companies can cancel a policy in case you don't pay the premium; your driving license is suspended, or in case you are charged with fraud. Your insurance company may decide not to renew your policy but they must explain the reason for it. If the explanations seem to be unfair you can call the state insurance department.

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