By Alfred Ardis
One of the most important parts of owning a motor vehicle is making sure you have a car insurance plan that meets your needs and budget. If you are involved in an accident, being insured is the only way to make sure that you are compensated for any damage caused by another driver. After all, there is no way to guarantee that the driver who hits you will have a coverage plan in place.
If you recently bought your first automobile, the thought of insuring it may seem stressful or confusing. This is nothing to be ashamed of, and if you do a little research about the different types of car insurance coverage plans, you will be able to figure out which policy is right for you. There are many types of coverage available, including liability coverage, collision coverage, uninsured driver coverage, and comprehensive coverage. Generally, insurers will offer drivers plans that include one or more of the above options.
One of the most common types of car insurance is auto liability coverage. This type of coverage will pay for any damages if you are legally responsible for injuring someone in an accident, or if you cause any damage to another person's vehicle or property during the accident. It will also pay for your legal defense and any court costs if the other party files a lawsuit. Generally, state laws dictate the minimum amount of auto liability coverage that each driver must have, but higher amounts are available.
Collision coverage is another type of car insurance that is available to drivers. This type of policy will cover damage costs incurred during collisions with other cars, collisions with stationary objects, and vehicle rollovers. To obtain this policy requires a deductible, meaning that the insured party must pay
some costs out-of-pocket before the insurer will cover any costs. Deductibles are used to deter insured parties from filing frivolous claims.
Comprehensive car insurance is used to cover reimbursement for damage with causes other than collisions or rollovers. This includes damage caused by fire, wind, storms, vandalism, theft, hail, flooding, or hitting an animal. In many cases, obtaining this will also require a deductible.
Uninsured or underinsured motorist coverage is used to protect drivers from damage caused by a collision with a driver who either does not have any type of liability coverage or does not have sufficient coverage to provide compensation for the entire amount of damages. This type may also pay for property damages, depending on the individual coverage plans offered by providers. The amount and specific type of damage it covers generally depends on state laws and the plans offered by individual providers.
Shopping around for car insurance? Somerset County, NJ, drivers can find the right policy by working with LaFontaine & Budd, Inc. For more information, visit:http://www.lafontaineandbudd.com.
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