Many people think auto insurance is just something they are required to have by law and something they will likely never use. Auto insurance is a product you buy but hope you never have to use. Auto insurance can not only protect your car but also your wallet. It provides financial protection against physical damage and/or bodily injury resulting from traffic collisions and against liability that could also arise therefrom. It is not a maintenance plan or a new car replacement tool.
In the litigious society we live in a simple fender bender could turn into a lawsuit. Having a solid auto insurance policy can prevent that from happening.
Auto insurance may also offers financial protection against theft of the vehicle and damage to the vehicle, sustained from things other than traffic collisions. There are basically six different types of coverages. Some may be required by law. Others are optional.
Protect what you love!
The State Minimum requirements in Colorado are 25/50/25 (we suggest having more than this). The first two numbers (25/50) of your liability limits are your bodily injury coverage. The first number represents how much the coverage will pay out per person, the second number represents how much the coverage will pay per incident, the third number represents how much the policy will pay for the other persons property.
This coverage is possibly the most important piece of your policy. This covers you in the event you get hit by someone who doesn’t have insurance or doesn’t have enough insurance. The limits of this policy usually will match your liability limits.
This covers acts of God. Say a tree branch falls on your car, you have hail damage, something flies up off the road and breaks your windshield, you hit a deer, or if your car is vandalized or stolen. Comprehensive coverage is essential in these situations.
This coverage is going to pay for your vehicle to be repaired in the result of an accident. This would also cover if you hit something such as a tree, pole, pothole, or even the side of your garage (it happens)!
In the event you are in an accident, this coverage will provide money payable towards medical bills.
This coverage does not provide coverage when you rent a car! This coverage actually provides a rental car when your car is being fixed because of an accident!
Towing and Labor also known commonly as Emergency Roadside assistance is a service most carriers offer where they will tow your car, change a flat tire, or get your keys out of your car when you lock them in there.