What are the different types of car insurance and what do they cover?

What are the 3 major car insurances?

3 Types of Auto Coverage Explained

  • Liability coverage. Protects you if you cause damage to others and/or their stuff. …
  • Collision coverage. Covers your car if you hit another car, person or non-moving object (like those darn ornamental rocks cousin Todd has at the end of his driveway). # …
  • Comprehensive coverage.

Can someone drive my car if they are not on my insurance?

If a friend or a family member has an accident and isn’t insured, then you will have to use your insurance. Unless you have expressly denied that driver permission to use your vehicle.

What are the major types of insurance?

Broadly, there are 8 types of insurance, namely:

  • Life Insurance.
  • Motor insurance.
  • Health insurance.
  • Travel insurance.
  • Property insurance.
  • Mobile insurance.
  • Cycle insurance.
  • Bite-size insurance.

Who pays an insurance premium?

What is it? A premium is the amount of money charged by your insurance company for the plan you’ve chosen. It is usually paid on a monthly basis, but can be billed a number of ways. You must pay your premium to keep your coverage active, regardless of whether you use it or not.

IT IS INTERESTING:  Can a car insurance company drop you?

What is the most important part of auto insurance?

The most important coverage has to be your state’s minimum liability and property damage coverage.

What are the 5 components of car insurance?

5 Types of Car Insurance Coverage Explained

  • Liability Insurance. Liability insurance covers you in the event you are in a covered car accident and it is determined the accident is a result of your actions. …
  • Collision Coverage. …
  • Comprehensive Coverage. …
  • Personal Injury Protection. …
  • Uninsured /Underinsured Motorist Protection.

What is the basic coverage for auto insurance?

While different states mandate different types of insurance and there are several additional options (such as gap insurance) available, most basic auto policies consist of: bodily injury liability, personal injury protection, property damage liability, collision, comprehensive and uninsured/underinsured motorist.

What happens if someone not on your insurance crashes your car?

What happens if someone wrecks your car and they aren’t on your insurance? … But if you can prove they weren’t given permission to drive or if they’re specifically excluded from your policy, then your insurance won’t cover them and they’ll be liable for the damage they caused.

What happens when you let someone else drive your car?

If someone else is driving your car and gets in an accident, your car insurance will likely cover any resulting damage, which means the claim will go on your insurance record and could affect your rates. On the other hand, if your car is taken without permission or the driver is not licensed, the driver is responsible.

IT IS INTERESTING:  Quick Answer: How much is auto insurance in Louisiana?

Can I drive someone else’s car with comprehensive insurance?

Can I drive my partner’s car? Driving Other Cars (DOC) insurance isn’t usually included as part of a fully comprehensive policy. Unless your policy states otherwise, you’ll only be able to drive your partner’s car if they’ve added you as a named driver or have a family or any driver car insurance policy.