Introduction to Comprehensive Coverage: The Complete Guide
Comprehensive coverage is a type of insurance policy that provides broad protection against a range of risks, including those that are not covered by other types of insurance policies. It typically covers both property damage and liability, and can also include additional coverage such as medical payments, uninsured and underinsured motorist coverage, emergency assistance, and rental car reimbursement. Comprehensive coverage is often required by lenders when purchasing a new vehicle, and is an important part of any auto insurance policy.
Types of Comprehensive Coverage
Comprehensive coverage is typically categorized into two types: collision and comprehensive coverage. Collision coverage covers damage to your vehicle caused by an accident, regardless of who is at fault. Comprehensive coverage, on the other hand, covers a range of risks not associated with an accident, such as theft, vandalism, fire, and hail.
What is Covered by Comprehensive Coverage?
Comprehensive coverage can cover a range of risks, depending on the policy. Generally, comprehensive coverage will cover the following risks:
- Theft
- Vandalism
- Fire
- Hail
- Falling objects
- Floods
- Wildfire
- Animal collisions
What is Not Covered by Comprehensive Coverage?
Comprehensive coverage is designed to cover risks that are not typically covered by other types of insurance policies, such as collisions and liability. However, there are some risks that comprehensive coverage does not cover. These include:
- Collisions
- Liability
- Normal wear and tear
- Mechanical breakdowns
- Intentional damage
- Certain types of flooding
- Certain types of earthquakes
Cost of Comprehensive Coverage
The cost of comprehensive coverage will vary depending on the type of policy and the coverage you select. Generally, comprehensive coverage is more expensive than other types of coverage, such as liability coverage. However, it is important to consider the value of the coverage when deciding whether to purchase a comprehensive policy.
Conclusion
Comprehensive coverage is an important type of insurance policy that provides broad protection against a range of risks. It typically covers both property damage and liability, and can also include additional coverage such as medical payments, uninsured and underinsured motorist coverage, emergency assistance, and rental car reimbursement. The cost of comprehensive coverage can be expensive, but it is important to consider the value of the coverage when deciding whether to purchase a comprehensive policy. To learn more about comprehensive coverage and how it can benefit you, visit The Zebra for an in-depth look at comprehensive coverage.