Liability coverage isn’t enough, as it won’t apply to any of your losses. For that, you’ll need full coverage insurance, which is liability plus the following coverages.
Collision Insurance Coverage
Whether you were at fault in an accident, collision insurance can pay to repair or replace your car.
Collisions aren’t the only danger to worry about. There’s also auto theft, vandalism and weather events like hurricanes. For those, comprehensive coverage will pay for your car’s repairs or a replacement if it’s totaled.
Uninsured/Underinsured Motorist Property Damage/Bodily Injury Coverage
What if you get into an accident with a driver who has no insurance or whose limits aren’t high enough to cover your losses? That’s where uninsured/underinsured motorist coverage could kick in. Essentially, it’s liability insurance for your losses and its limits should match your liability limits. For example, if you have $150,000 for bodily injury per person, get $150,000 for uninsured bodily injury per person, as well.
Medical Payments Coverage
Lastly, medical payments coverage, also known as MedPay, pays for your and your passengers’ medical costs if you’re injured in a car accident, regardless of fault. Note that MedPay differs from the personal injury protection (PIP) offered in no-fault states as PIP includes reimbursements for lost wages as well as child care while MedPay doesn’t.
You may also want to consider other add-ons like the ones below.
Stuck on the side of the road? 24/7 roadside assistance can provide towing, lockout help, jumpstarts, batteries, fuel delivery and other essential services.
Rental Car Coverage
If your car is being repaired under a covered claim, rental car coverage will contribute to the cost of a rental car. Some policies even contribute to rideshare or public transportation costs.
If you have a loan or a lease, most likely, you’ll be required to get gap insurance, which pays for the remainder of your balance if your car is totaled. Some auto insurance providers offer gap insurance, but not all. In some cases, you have to buy it from the dealership, manufacturer or a third-party financial institution.