While neither of these coverages is required legally, if your car is damaged, you’ll want them.
Find The Right Insurance
Let our Perfect Policy Connectors do the work for you!(855) 909-2474Request a free quote
Many people would be surprised that if you get into an accident and it’s your fault, property damage insurance coverage wouldn’t reimburse you with any money for your car repairs. Similarly, if your car is stolen or vandalized, property damage coverage won’t be of any help. For these events and others, you’ll need collision and comprehensive coverage. Here, we’ll explain which events these coverages cover, their cost, and whether or not you need them.
See below for an overview of the differences and similarities between collision coverage and comprehensive coverage.
|Type of coverage||Collision coverage||Comprehensive coverage|
|Your property damages in accidents you caused||Yes||No|
|Weather-related incidents such as hail storms, floods, fires, etc.||No||Yes|
|Should people with old cars get it?||No||No|
|Should people with new cars get it?||Yes||Yes|
|Should people with broken-down cars get it?||No||Yes|
|Should people with cars in storage get it?||No||Yes|
|Average monthly cost in 2019||$381.43||$171.87|
|Required by any state?||No||No|
Now, let’s get into the nitty-gritty details about each type of coverage.
If you choose to include collision and/or comprehensive coverage in your policy, you’ll need to choose both deductibles and limits.
How do deductibles work? You’ll select a deductible when you meet with your insurance agent initially. It’s what you’ll pay toward a covered claim before your insurance kicks in.
You’ll choose separate deductibles for collision and comprehensive coverage. On average, a deductible is around $500, and can range from $0 to $2,000. Read our frequently asked questions about deductibles for more information.
A limit is how much your insurance provider will pay for your damages after you’ve reached your deductible. For collision and comprehensive coverage, the limit is the fair market value of your car, usually. However, you can choose a higher limit if you so please.
Since no state requires either comprehensive or collision coverage, it’s up to you to decide if you want the extra coverage. Here’s how to decide.
From 2019 to 2020, rates of auto theft in the U.S. increased by 10 percent.3
If you already have collision and comprehensive coverage on your owned or leased vehicle, you don’t need to purchase it again if you rent a car. Learn more about rental car coverage.
Don’t get bamboozled into buying redundant coverage from a rental car company. Car insurance follows the driver, not the car, so if you already have coverage, it’ll apply to any car you drive.
Everyone wants to lower car insurance costs. Here’s how to do it.
Although they’re not required, in most cases, we recommend getting collision and comprehensive coverage. There are exceptions, of course, like if you have an old car or a car that doesn’t run. Keep reading below to learn more about collision and comprehensive coverage.
Still confused? Keep reading below to hear answers to the questions we get the most often.
Whether it is better to have collision or comprehensive coverage depends on your exact situation. For example, if you have a car that’s broken down or in storage, comprehensive coverage is better. But for any other drivers of new cars, both comprehensive and collision coverage are necessary to pay for your car’s damages.
Unless you have a car that’s old, in storage, or broken down, yes, you need both collision and comprehensive coverage. Otherwise, if you got into an accident and it was your fault or were a victim of auto theft, vandalism, or weather-related damages, you would have to pay out of pocket to get your car repaired or replaced.
In a collision with another vehicle, collision coverage pays for your damages, not the other party’s. You can get reimbursed for up to what your car is worth if you have collision coverage.
Comprehensive and collision coverage aren’t the same as full coverage; rather, they’re part of full coverage, which also includes coverages for:
Collision coverage covers hitting a pothole, as it’s a type of collision. In contrast, comprehensive coverage doesn’t cover any damages from collisions.
2018/2019 Auto Insurance Database Report. National Association of Insurance Commissioners. (2022).
Do you need insurance for a car in storage? Progressive. (2022).
U.S.: reported motor vehicle theft rate 1990-2020. Statista. (2021, Sep 29).