Types of Car Insurance

Every state requires drivers to have car insurance. If you don’t have car insurance, you must have financial responsibility waivers. These waivers ensure that you can pay for property damages or medical expenses. There are several components that can make up your insurance policy:

• Liability coverage protects you if you are at fault for a collision. It pays for medical expenses and vehicle damage for the other driver and passengers.
• Uninsured motorist coverage pays for damages to your car and medical expenses if an uninsured driver hits your car.
• Collision coverage pays to repair your vehicle, if you were at fault for the damage.
• Underinsured motorist coverage pays damages for your car if someone hits it, but their insurance can’t pay for your car damages.
• Comprehensive coverage pays for damage to your car due to theft, fire, or falling objects.