Auto Insurance

If you lease your car, you will still need to buy your own auto insurance policy. You will be required to buy collision and comprehensive coverage by the auto dealer or bank that is financing your car. In addition, you will need to buy liability insurance and any other coverage’s that may be mandatory in your state.

Before renting a vehicle, check your personal auto policy and with your agent. In most cases, the coverage and deductibles you have on your own car apply when you rent a car. If your rental car is stolen or damaged in an accident, you must have comprehensive and collision coverage to be covered. Also check to see whether your insurance company pays for administrative fees, loss of use, diminished value or towing charges.

Comprehensive coverage provides coverage for direct auto physical damage to a covered auto resulting from any cause of loss except collision or a cause of loss specifically excluded. Comprehensive coverage includes damage caused by fire, theft, explosion, windstorm, hail, water or contact with an animal. Collision coverage provides coverage for direct and accidental loss or damage to a covered auto caused by collision with another object or by overturn.

Other people are covered when they drive your vehicle if they have the permission to do so. All insurance will follow the vehicle, so any damages would be paid by your company (up to the policy limit).

Medical Payments coverage pays for medical expenses (up to the policy limit) for you or your immediate family while either in a car you own, while riding in another individual's vehicle, or as a pedestrian. This coverage also pays medical expenses for any person injured while occupying your coverage auto.

Generally, insurance on your teen driver will make your premium increase. This is due to the risk associated with having an inexperienced driver in your household. Studies show that teenage drivers have more at-fault accidents than experienced drivers due to lack of experience and distractions.

Insurance companies usually charge for at-fault accidents, as well as other driving violations for each driver. Some chargeable violations include speeding, careless driving, or alcohol/drug violations.

Pet coverage varies from company to company. Some companies will pay $500 for any veterinarian bills, including medication, resulting from injuries sustained while the pet is a passenger in your vehicle.