Online Auto Insurance Explains Important Differences in Physical Damage Coverages
Sacramento, CA, March 28, 2011 --(PR.com)-- In most states, there are three different types of auto insurance coverages pertaining to damages to cars and other types of property: property damage liability, collision and comprehensive.
Property damage liability actually does not cover damage to the policyholder’s own car. Rather, it can be used to pay for damages to other people’s cars that were caused by the policyholder.
On the other hand, there are also comprehensive and collision policies, which do cover damages incurred by the insured vehicle. But there are important differences between these two, as the writers at OnlineAutoInsurance.com point out in a recent FAQ.
Comprehensive and collision are usually pretty affordable auto insurance types, especially if the buyer opts for higher deductible levels. For example, a 35-year-old male Californian who raises deductibles from $250 to $500 can save around 15 percent by doing so.
The National Association of Insurance Commissioners reported that in 2008 - the most recent year for which data is available - the national average premium on a comprehensive policy was about $300, and it was about $134 for collision.
There’s a reason that collision tends to cost so much more than comprehensive. According to data made available by the Insurance Information Institute, in 2009 comprehensive claims were filed at about half the rate of collision claims, and the average size of a comprehensive pay-out was less than half that of the average collision pay-out.
This can at least partly be attributed to the types of incidents that each type covers. Damages protected by collision include those caused by striking another vehicle or object and by the flipping over of an auto. Damages covered under comprehensive include theft, vandalism, fire, glass breakage, hitting an animal and hail damage.
Source: http://insurance.ca.gov/0100-consumers/0060-information-guides/0010-automobile/Auto-insurance-101.cfm
Another important distinction between property damage liability and comprehensive and collision coverages is that the former is required by law in most states, while the latter two are optional coverages. OnlineAutoInsurance.com advises consumers to keep in mind the actual worth of their cars when deciding whether to add these optional protections
To learn more about getting affordable coverage, readers can go to http://www.onlineautoinsurance.com/affordable/ where visitors will find informative resources on different types of coverage and the ways to find the best prices.
Visitors who would like to read the full FAQ can follow click the “Questions” link located at the top of any page on the site to access the full FAQ library.
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Property damage liability actually does not cover damage to the policyholder’s own car. Rather, it can be used to pay for damages to other people’s cars that were caused by the policyholder.
On the other hand, there are also comprehensive and collision policies, which do cover damages incurred by the insured vehicle. But there are important differences between these two, as the writers at OnlineAutoInsurance.com point out in a recent FAQ.
Comprehensive and collision are usually pretty affordable auto insurance types, especially if the buyer opts for higher deductible levels. For example, a 35-year-old male Californian who raises deductibles from $250 to $500 can save around 15 percent by doing so.
The National Association of Insurance Commissioners reported that in 2008 - the most recent year for which data is available - the national average premium on a comprehensive policy was about $300, and it was about $134 for collision.
There’s a reason that collision tends to cost so much more than comprehensive. According to data made available by the Insurance Information Institute, in 2009 comprehensive claims were filed at about half the rate of collision claims, and the average size of a comprehensive pay-out was less than half that of the average collision pay-out.
This can at least partly be attributed to the types of incidents that each type covers. Damages protected by collision include those caused by striking another vehicle or object and by the flipping over of an auto. Damages covered under comprehensive include theft, vandalism, fire, glass breakage, hitting an animal and hail damage.
Source: http://insurance.ca.gov/0100-consumers/0060-information-guides/0010-automobile/Auto-insurance-101.cfm
Another important distinction between property damage liability and comprehensive and collision coverages is that the former is required by law in most states, while the latter two are optional coverages. OnlineAutoInsurance.com advises consumers to keep in mind the actual worth of their cars when deciding whether to add these optional protections
To learn more about getting affordable coverage, readers can go to http://www.onlineautoinsurance.com/affordable/ where visitors will find informative resources on different types of coverage and the ways to find the best prices.
Visitors who would like to read the full FAQ can follow click the “Questions” link located at the top of any page on the site to access the full FAQ library.
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Contact
Online Auto Insurance
Benjamin Zitney
909-784-2475
http://www.onlineautoinsurance.com/
Benjamin Zitney
909-784-2475
http://www.onlineautoinsurance.com/
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