478-788-9188 |  855-218-6308 ☰ ˟
Logo
Local – 478-788-9188 Toll Free – 855-218-6308
  • Home
  • Get A Quote
    • Auto Insurance Quote
    • Commercial Auto Insurance Quote
    • Homeowners Insurance Quote
    • Manufactured Home Quote
    • Motorcycle Insurance Quote
    • Truckers Quote
  • Customer Service
    • Request ID Card for Auto Policy
    • Request Declaration and Coverages Page for Auto Policy
    • Send Declaration and Coverages Information to Lien Holder
    • Request ID Card for Commercial Auto Policy
    • Request Declaration and Coverages Page for Commercial Auto Policy
    • Request Declaration and Coverages for Existing Homeowners Insurance Coverage
    • Request ID Card for Motorcycle Policy
    • Request Declaration and Coverages Page for Motorcycle Policy
  • Coverages
    • Auto & Home
    • Business & Commercial
    • Automobile
    • Homeowners
    • Renters
    • Truckers
    • LocationsImage of right arrow
      • Georgia Auto Insurance
      • Texas Auto Insurance - Budget Insurance Agency
      • Tennessee Auto Insurance - Budget Insurance Agency
      • South Carolina Car Insurance - Budget Insurance Agency
      • California Car Insurance - Budget Insurance Agency
      • Affordable Virginia Car Insurance - Budget Insurance Agency
      • Cheap Florida Car Insurance
  • Blog
  • Payments
  • Resources
    • Secure File Area
    • Refer a Friend
    • Important Links
    • Calculators
    • Free Reports
    • Insurance Glossary
  • About
    • About Us
    • Testimonials
    • Location Map
    • Employee Directory
    • Partners Page
    • Privacy Policy
  • Areas Served
    • States Summary
    • Alabama
    • Arizona
    • California
    • Florida
    • Georgia
    • Indiana
    • Nebraska
    • North Carolina
    • Mississippi
    • Missouri
    • Tennessee
    • Texas
    • South Carolina
    • Virginia
    • Macon
  • Contact
    • Contact Us
    • Join Our Newsletter
Home > Blog > Navigating the Coverage and Limits of Car Insurance
THURSDAY, JULY 26, 2018

Navigating the Coverage and Limits of Car Insurance

The auto insurance industry is confusing sometimes, especially for the average driver. Still, it’s one of the most important pieces of financial protection you can own. Your policy can pay for a variety of damage you and your car might experience during travel. Take some time to learn about the limits you need image of car driving on your policy, and how different types of coverage work.

How does car insurance function?

As a piece of heavy machinery, your car is durable. However, it’s not immune to damage. Vehicle wrecks, theft or other threats could strike at any time. So, whether you’re on the interstate or in your driveway, your car needs protection. It’s expensive, and you might worry about losing it. Being unable to use your car because of something you can’t control might cost you, in more than one way.

If you have car insurance, your policy can provide money to help you repair damage to your vehicle. It can also cover other costs like lawsuits or medical bills. Therefore, insurance provides consumer protection from which most of us can benefit.

Still, Limits Exist

Still, car insurance doesn’t free drivers from all financial responsibility. The goal, however, is to make these costs as low as possible.

Your policy will come with certain maximum limits in how much it will pay for certain losses. As a result, you’ll need to choose limits that reflect the full value of your vehicle and driving risks. Your insurance agent can help you hone in on the coverage you need. In the end, you’ll have a lot of different options from which to choose.

  • Liability Insurance

Whenever you hit the road, you might harm someone else. Liability coverage exists to pay for the damage you cause others, like a driver you hit in a wreck.

Liability coverage is so important that most states require drivers to carry coverage. Georgia requires you to carry protection for injuries or property damage. The minimum limits are

  • $25,000 bodily injury coverage per person
  • $50,000 bodily injury coverage per accident
  • $25,000 property damage coverage per accident

As a driver, you have to consider whether these limits are enough for you. Medical bills, car repairs and lawsuits might exceed the minimum coverage. Therefore, most drivers benefit from increasing their liability coverage. Consider increasing your liability coverage to create a more suitable financial cushion.

  • Uninsured/Underinsured Coverage

In some cases, states require drivers to carry this insurance as well. It will often come with limits similar to your liability coverage. Think of Uninsured/underinsured coverage as liability insurance you can use for your own losses.

You might get into a hit and run. You might encounter an at-fault driver who doesn’t have enough (or any) liability coverage for your losses. This coverage can step in to help you pay for your losses when the other driver’s liability coverage cannot.

One benefit of using it is that you likely won’t experience a rate increase despite filing a claim on your policy. You didn’t cause the accident, so your insurers often won’t penalize you.

  • Collision and Comprehensive Coverage

A tree might fall on the vehicle, or a collision with another car could lead to damage. As a result, you might need help paying for your losses. There are a couple of different types of protection.

  • Collision insurance pays for damage resulting from wrecks
  • Comprehensive coverage pays for non-accident damage, such as weather, fire or theft damage

The biggest loss you can face is a ruined, or totaled car. So, you’ll need coverage to provide compensation based on the full value of your vehicle. Replacement cost coverage will pay for you to get a new car of equal or lesser value if you total the car. Cash value coverage, on the other hand, will pay the depreciated value of the vehicle at the time of the accident. Which coverage works for you will depend on your own preferences and needs.

Keep in mind, most policies will come with deductibles. That’s a set cost you’ll have to pay for vehicle damage or other claims. For example, if you have a $1,000 claim and a $500 deductible, you’ll pay the first $500. Your policy will pay the remaining $500. Talk to your insurance agent about your current finances. They can help you choose deductibles and limits that are more appropriate.

Other Coverage

These aren’t the only coverage limits you can get on your car insurance. Providers might offer personal injury protection or medical payments coverage, to help you pay your medical bills. Others might extend rental car reimbursement, or offer covered towing services.

With the correct guidance, you can choose a policy that works best for you. Your insurance agent is there to see you have adequate coverage. Still, they can make sure you don’t get too much coverage, or pay an unfair price for your insurance. At the end of the day, they’ll make sure you walk away protected, but satisfied with coverage.

Get a Quote

Additional Articles
  • What is Comprehensive and What Does it Cover?
  • Texas Auto Insurance: Insuring All Lone Star State Drivers
  • Florida Car Insurance: Affordable Coverage for Sunshine State Drivers
  • Alabama Auto Insurance: Insurance for all Yellowhammers
Posted 2:21 PM

Tags: auto insurance, auto insurance coverage, auto insurance limits, collision coverage, comprehensive coverage, liability insurance, georgia, uninsured, underinsured,
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013

  • insurance(119)
  • georgia(82)
  • car insurance(65)
  • auto insurance(41)
  • atlanta(34)
  • macon(26)
  • trucking insurance(25)
  • florida(22)
  • home insurance(22)
  • south carolina(15)
  • texas(15)
  • tennessee(14)
  • motorcycle insurance(13)
  • ga(12)
  • homeowners(12)
  • commercial insurance(11)
  • safety tips(10)
  • houston(9)
  • miami(9)
  • augusta(8)
  • savannah(7)
  • budget insurance(7)
  • vacation(7)
  • truck insurance(6)
  • commercial auto insurance(6)
  • safety(6)
  • business owners(6)
  • contest(5)
  • cheap car insurance(5)
  • business insurance(5)
  • auto(5)
  • alabama(5)
  • low rates(4)
  • tampa(4)
  • facebook contest(4)
  • chattanooga(4)
  • comprehensive(4)
  • jacksonville(4)
  • homeowners insurance(4)
  • oneal and associates(4)
  • cheaper car insurance(4)
  • dump truck(4)
  • cargo insurance(3)
  • photo contest(3)
  • general liability insurance(3)
  • business(3)
  • uninsured(3)
  • underinsured(3)
  • charleston(3)
  • halloween contest(2)

View Mobile Version
logo, company name
Carrier
Carrier
graphical user interface
Carrier
Carrier
Carrier
Carrier
Carrier
Home| Get A Quote| Customer Service| Blog| About Us| Contact
Mailing Address: 4885 Riverside Dr. suite 100 Macon, Ga. 31210
Local Phone: 478-788-9188 | Toll Free: 855-218-6308
Social Social Social Social
Logo

Powered by Insurance Website Builder