Comprehensive Auto Insurance: What Is It?
What is a comprehensive insurance coverage? How does it differ from other car insurance? A comprehensive auto insurance coverage, otherwise called "Comp", is type of policy that gives coverage to your car in case of physical damage.
It is also called OTC, or "other than collision" policy.
Contrary to popular belief, a comprehensive insurance coverage is not encompassing.
On the contrary, this type of policy only covers the expenses incurred for repairs due to damages from causes other than collision.
So, if for example, you figure into an accident that resulted to physical damage to your car, the bill will be paid for by a plan that covers collision incidents.
If what you have is only a "comp", then you will have to foot the bill yourself.
Moreover, a comprehensive insurance coverage only provides for expenses due to repairs done on the car, or replacement of the car.
It does not reimburse the amount of any personal properties damaged or stolen from the car.
If you have modifications or installations done on the car, such as stereo or high-end sound system, you might want to get a separate insurance for this and all valuables inside the car.
Lastly, wear and tear of the car due to regular use is not included in a "comp" coverage.
So what does comprehensive insurance coverage? Below are some of the items included in a "comp" policy.
• Damage or loss in case of fire.
• Theft or losses due to a breaking into your car.
• Harm done to your car due to riots.
• Damage caused by floods, hail or water.
• Wreckage from vandalism.
• Physical harm due to wind.
• Damages caused by animals.
• Glass breakage • Damages resulting from flying, falling or propelled objects.
It is important to note, though, that vandalism or robbery committed by your employees or member of the family are not covered by this type of insurance.
If you are driving another car, you may want to have this included in your coverage.
This is called, extension, and usually has lower protection.
Before buying an insurance policy, it s best to study the terms carefully to know which are being covered and which are not.
Cost of "Comp" Auto insurance prices vary from one insurance provider to another.
It is important to do cost comparisons before deciding to buy one.
Many factors are evaluated by insurers before they come up with the price of your comprehensive auto insurance policy.
The value of your automobile, annual mileage, the location where the car is usually driven, the driver's age and experience and driving history are some of the factors considered in determining the insurance cost.
You must determine if having an auto insurance is worth your car.
Equate the value of your car with the price of the comprehensive insurance coverage.
Also, consider the deductible required.
Comprehensive and collision coverage has deductibles that range from as low as $200 to as high as $1500.
Remember that the bigger the deductible, the smaller the premiums will be.
It is important to compare quotes provided by insurers.
When you are properly informed, you will be able to choose the auto insurance package that's right for you.
It is also called OTC, or "other than collision" policy.
Contrary to popular belief, a comprehensive insurance coverage is not encompassing.
On the contrary, this type of policy only covers the expenses incurred for repairs due to damages from causes other than collision.
So, if for example, you figure into an accident that resulted to physical damage to your car, the bill will be paid for by a plan that covers collision incidents.
If what you have is only a "comp", then you will have to foot the bill yourself.
Moreover, a comprehensive insurance coverage only provides for expenses due to repairs done on the car, or replacement of the car.
It does not reimburse the amount of any personal properties damaged or stolen from the car.
If you have modifications or installations done on the car, such as stereo or high-end sound system, you might want to get a separate insurance for this and all valuables inside the car.
Lastly, wear and tear of the car due to regular use is not included in a "comp" coverage.
So what does comprehensive insurance coverage? Below are some of the items included in a "comp" policy.
• Damage or loss in case of fire.
• Theft or losses due to a breaking into your car.
• Harm done to your car due to riots.
• Damage caused by floods, hail or water.
• Wreckage from vandalism.
• Physical harm due to wind.
• Damages caused by animals.
• Glass breakage • Damages resulting from flying, falling or propelled objects.
It is important to note, though, that vandalism or robbery committed by your employees or member of the family are not covered by this type of insurance.
If you are driving another car, you may want to have this included in your coverage.
This is called, extension, and usually has lower protection.
Before buying an insurance policy, it s best to study the terms carefully to know which are being covered and which are not.
Cost of "Comp" Auto insurance prices vary from one insurance provider to another.
It is important to do cost comparisons before deciding to buy one.
Many factors are evaluated by insurers before they come up with the price of your comprehensive auto insurance policy.
The value of your automobile, annual mileage, the location where the car is usually driven, the driver's age and experience and driving history are some of the factors considered in determining the insurance cost.
You must determine if having an auto insurance is worth your car.
Equate the value of your car with the price of the comprehensive insurance coverage.
Also, consider the deductible required.
Comprehensive and collision coverage has deductibles that range from as low as $200 to as high as $1500.
Remember that the bigger the deductible, the smaller the premiums will be.
It is important to compare quotes provided by insurers.
When you are properly informed, you will be able to choose the auto insurance package that's right for you.
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