| Car insurance protects you against any financial loss | | | | insurance company will bill you when it is time to renew |
| that may happen due to an accident or theft of your | | | | your policy and be prepared for a rate hike. |
| car. It is a car insurance company that issues car | | | | The different types of coverage are :- |
| insurance to you. A car insurance company will work | | | | 1) Bodily Injury Liability |
| up a car insurance policy for you after evaluating the | | | | This type of liability covers the expenses of injuries |
| various options like the make of your car, the premium | | | | that you may cause to someone else while driving |
| that you are willing to pay, your insurance risk, etc. A | | | | your car. Also the coverage includes injuries caused to |
| yearly premium has to be paid by you to the car | | | | a person while driving other person's car. |
| insurance company so that the company can pay for | | | | 2) Medical Payments and Personal Injury Protection |
| your loses that you may bear in the future. All the | | | | This type of liability covers the expenses for the |
| terms and conditions are mentioned in the contract and | | | | treatment of injuries to drivers and other passengers. |
| it is your duty as a car owner to look over all the | | | | The liability also covers medical expenses and funeral |
| points and ask the insurance agent any questions that | | | | expenses in the case of death. |
| you have in mind. It is only after all the terms and | | | | 3) Property Damage Liability |
| conditions are clear to you that you should sign on the | | | | This type of liability covers for damage to the other |
| dotted line and pay the premium. | | | | person's car and your car. It may also include damage |
| Normally all car insurance companies have the same | | | | to lamp posts, telephone poles, fences and other public |
| insurance policies. The premium to be paid and the | | | | property. |
| percentage of losses to be covered in case of any | | | | 4) Collision |
| accident may vary slightly. Since the car insurance | | | | This type of liability covers expenses for damage to |
| market is very competitive, the premium rates and | | | | your car or the other person's car. Even if you are at |
| other terms and conditions almost remain the same. | | | | fault, then also you will be reimbursed for the |
| A car insurance policy may provide property, liability | | | | expenses of repairing the car. |
| and coverage depending on the type of policy. The | | | | 5) Comprehensive |
| property coverage covers losses for damage of the | | | | This liability covers loses due to theft or damage to the |
| car or the theft of the car. Liability coverage pays for | | | | car by something other than collision with another |
| any legal liabilities to other people for bodily harm or | | | | object or damage to the car due to fire, falling objects, |
| property damage. And medical coverage covers | | | | explosion, earthquake, etc. |
| expenses for treating injuries, medicine expenses and | | | | 6) Uninsured and Underinsured Motorist Coverage |
| funeral expenses in case of a car accident. You may | | | | This liability covers damages to your car by another |
| buy the different types of coverage depending on | | | | driver who is uninsured. |
| how much you want to spend on your policy. | | | | The coverages mentioned above are offered by all |
| A car insurance policy usually consists of 6 types of | | | | car insurance companies. In almost all states, car |
| coverage. As mentioned before a customer can | | | | insurance is mandatory. Therefore, it is your |
| select from the different types of coverage. Most of | | | | responsibility as a car driver to have a policy. |
| the car policies last from 6 months to a year. Your car | | | | |