Car Insurance Primer: 7 Terms and Types You Need to Know

In Ohio – as in many other states – having car insurance is the law.

That’s easy enough. The problem is that it’s a complicated topic that can be difficult to understand.

One of the ways to feel more comfortable is to understand some of the most common car-insurance terminology.

Here’s what you need to know.

1.Bodily injury liability

This covers your injuries, lost wages, and pain and suffering.

It’s also for the damage you cause to other drivers, passengers, or pedestrians.

2. Rental reimbursement

If you’re in an accident that renders your car undrivable or in need of any repairs, this type of coverage will pay for you to have a rental vehicle.

3. Collision coverage

This coverage will pay for the damage your car suffers as a result of a rollover or crash with an object or another vehicle.

You’ll usually have to pay a deductible before this coverage kicks in.

4. Comprehensive coverage

Not all damage to your vehicle is caused by a crash.

Comprehensive coverage is for damage caused by hail or other weather-related incidents or for theft.

5. Emergency road service

A time may come when you lock yourself out of your car or it breaks down and needs to be towed.

That’s where you’ll be thankful for this type of coverage that pays for towing and locksmith services.

6. Medical payments and personal injury protection

This kind of car insurance will pay for medical expenses, lost wages, and even funerals for a covered person who is injured in an accident.

7. Property damage liability

Accidents happen and sometimes you’re at fault.

You need this coverage to pay for the damage to another person’s vehicle and/or property.

It also pays for any associated court costs or legal fees.

The more you know

Having a handle on these different types of coverage will help you when it’s time to secure coverage for your vehicle.

If you’ve experienced an accident and your car has been damaged beyond repair, the experienced professionals at Serra Acura are ready and waiting to help you find a replacement vehicle that’s just right for you.

Come see us today!