Comprehensive Insurance & Collision Insurance – Do You Need Them?
Florida, like nearly all states, requires every passenger vehicle to be covered by auto insurance. The minimum required is $10,000 personal injury protection (PIP) and $10,000 property damage liability (PDL).
PIP insurance pays for your immediate medical care following an accident regardless of liability. It can also cover lost wages, physical rehabilitation, and other losses or expenses incurred – depending on the policy. PDL insurance, by contrast, pays for damage that you cause to another driver’s property during a crash. The state can require additional insurance coverage in some cases, such as if you have previously been found responsible for causing an accident.
Car insurance provides a valuable financial cushion in the event of a serious accident. Two other types of car insurance – comprehensive and collision – can sometimes be worth having as well.
Let’s look at what they cover:
- Comprehensive insurance – There are many ways for a vehicle to become damaged other than in a crash. It can be vandalized, stolen, crushed by a falling tree, or damaged in a natural disaster. Comprehensive insurance can cover your vehicle should it become damaged as a result of one these non-collision scenarios.
- Collision insurance – This can cover damage sustained by your vehicle during a crash. Collision insurance can help keep your repair costs low and is likely required if you currently lease or finance a vehicle.
Though not mandatory in Florida, comprehensive and collision are two types of automobile insurance that many people choose to carry. Deciding whether either one is right for you is a personal choice with no right or wrong answer. However, it can help to consider the following:
- Car value – If you own a car that’s valuable, comprehensive and/or collision can help you avoid sizable out-of-pocket expenses in the event of an accident or other mishap.
- Savings – Would your current savings make it possible for you to pay for extensive repair work or buy a new car? If not, collision and comprehensive can help protect you.
- Loan eligibility – Would you be able to finance a new or pre-owned car if that became necessary? Collision and comprehensive are designed to cushion you against high unexpected costs.
- Time on the road – It stands to reason that, the more you drive, the higher your risk of being involved in an auto accident. Racking up the miles could make you a good candidate for either comprehensive insurance or collision insurance, or both.
This information is provided to you by Wesley Chapel personal injury lawyer George M. Stark. Contact Stark Injury Law today if you or a loved one has been involved in a motor vehicle accident. Founded in 1987, Stark Injury Law has successfully advocated on behalf of countless auto accident victims.