There are some major differences between comprehensive insurance vs collision coverage that you should know about; especially if you are getting these types of coverage confused with one another. Collision car insurance is very different from comprehensive insurance due to the fact that collision provides insurance for when you are involved in an accident (which is commonly referred to as a “collision”). Comprehensive car insurance, on the other hand, provides coverage for vandalism to your vehicle, theft (i.e. if someone steals something from your car), fire (i.e. if your car were to burn up), as well as animal damages and acts of God (which is pretty much like saying damage from nature). Once you are able to understand that these are separate types of coverage, you can become a better car insurance consumer.
Comprehensive Insurance vs. Collision Car Insurance
People that have been involved in accidents probably wished that they had auto collision insurance coverage if they didn’t. Although third party car insurance is usually the minimum amount of insurance required in most cases, it helps to have some additional collision damage insurance; especially if the accident is severe. When you collide with another vehicle, there could be a lot of resulting damages – you want to always be protected if you get into an accident. Many people purchase collision protection before they get comprehensive coverage because it makes more sense to do so. Accidents are the main concern from most auto insurance customers – so having additional collision coverage is something that is recommended.
Since a lot of people don’t think much about the fact that their vehicle could be vandalized, parts could be stolen, animals could cause damage to it, etc. – they tend to stay away from comprehensive coverage. Getting comprehensive automobile insurance can cost a lot more money than average and it may be beneficial to avoid buying it due to the high price tag that often accompanies this type of policy. However, if you live in a high risk environment where comprehensive insurance may prove to be useful, you may want to at least consider getting some.
Do I Need Comprehensive Car Insurance?
This is a question that you should be asking yourself if you are thinking about purchasing this type of policy. If you want to have advanced protection in the event of an accident – then collision insurance is what you should be looking for. If you want to have your vehicle protected from environmental damages, vandals, and thieves, then comprehensive coverage is the best way to go. If you aren’t sure whether you could benefit from a comprehensive cover, then ask your insurance provider for their honest opinion so that you can gain some additional perspective.
Is Collision Car Insurance Coverage Necessary?
Collision auto insurance coverage is not necessary, but if your car is “totaled” in an accident, it will reimburse you for the car so that you can either make repairs or go out and buy a new one. Collision insurance is something that you should consider getting if you want to make sure that you don’t have to pay to have your vehicle repaired or buy a new one if there are extensive damages to it in an accident. You should know, though, that when you get collision coverage, your insurance premiums are going to increase – so be prepared to pay some extra money.
Getting Both Collision and Comprehensive Insurance Combined
People that buy a brand new vehicle may want to have both comprehensive car insurance with collision coverage; getting both of these policies is sometimes called “full coverage” or “maximum coverage.” Many insurers offer deals for people that decide to bundle these policies together. It is up to you to decide whether you are driving a valuable enough car to get these additional types of coverage. Once again, it is completely up to you as to whether you should get both of these policies combined. I personally don’t need both of them for my own vehicle because I drive a relatively inexpensive car, but if you drive a luxurious car, you probably don’t want to take the chance of having inadequate insurance to repair all damages in the event of a collision and/or environmental damages.