What Will Your Collision Insurance Cover During an Unexpected Accident?

By Annie Stephan Jan 06, 2024 12:47 AM EST

Life is unpredictable, ruling out the assurance of a seamless drive, no bumps, and no accidents. Such scenarios highlight the importance of collision insurance. Let's unpack the details to understand how collision insurance comes to your rescue amid unforeseen road mishaps.

What Will Your Collision Insurance Cover During an Unexpected Accident?

(Photo : Unsplash/ Vlad Deep)

Understanding Collision Insurance

Defined precisely, collision insurance represents a vital facet of the broader auto insurance framework. It provides coverage in accidental crashes or collisions with another vehicle or object. Its applicability makes it stand apart, even assuming you're the guilty party. Whether you experience a rollover, run into an immobile object, or become a hit victim while parked, collision insurance extends its umbrella over you. But remember, it's your car it covers, not the bodily injuries incurred or damages to other vehicles or objects.

Scope of Collision Insurance

So, you know collision insurance shields your vehicle from accident-driven damages. But does it engulf every accident type? Well, every accident has its peculiarity, so the coverage differs. Damage from the collision with another car or object, including single-car accidents, primarily falls under its domain.

Exploring Differences: Collision versus Comprehensive Insurance

The line distinguishing comprehensive and collision insurance often blurs in conversations. To clear the air, collision insurance is your go-to option for accidents involving other cars or objects. Conversely, comprehensive insurance extends its coverage to "almost anything else," spanning theft, wildlife camping on roads, natural disasters, and even civil disturbances.

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Do You Require Collision Insurance?

Even if you trust your driving skills implicitly, collision insurance is a fail-safe you must consider. No legislation mandates this insurance type, yet it safeguards you from shelling out immense out-of-pocket expenses post-accidents. Especially if you're leasing your vehicle or making payments, your finance company may insist on having collision coverage.

Ruling out Collision Insurance Myths

It's essential to clear up a few misconceptions about collision insurance. It isn't legally enforced, but your lender could require it if you still pay off your car. Collision insurance doesn't cover thefts (that's comprehensive coverage territory), rental car mishaps, or vandalism. And yes, even older cars can be protected under collision insurance if their value holds up.

Also, collision insurance is specific to the policyholder's vehicle; it doesn't cover damages to other drivers. However, if you're at fault in an accident, your liability insurance may chip in for the damages to the other car.

Hit-and-Run Incidents & Collision Insurance

Your collision policy could cover the damages in a hit-and-run accident where your parked car is the casualty. However, it doesn't account for any personal injuries from such mishaps.

The Importance of Legal Assistance

With all said and done, perusing your collision insurance policy and understanding legal jargon could be overwhelming. Engaging an experienced lawyer for legal guidance can make a difference in safeguarding your rights and interests.

As many constants change on the road, be proactive. Comprehend the nuances of your collision insurance policy better. Connect the gap between uncertainties and protection, ensuring you're prepared for unexpected accidents with collision insurance.

Make an appointment with your trusted, experienced lawyer to help decipher your collision insurance policy. Prepare for the unexpected - act now!