Some Common Questions on Automotive Insurance Answered

Here are some questions that one needs answered before buying car insurance.

Before buying car insurance from any auto insurance company, people want to know the difference between comprehensive insurance and collision insurance. Comprehensive insurance covers the vehicle so insured against any damage caused by accident, fire, hail, and even the falling of a tree. Some events known as "acts of God", where no human error was responsible, are covered by this type of insurance. On the other hand, collision insurance will cover a vehicle only if it has been involved in an accident. It is advisable that one should buy both these insurances, not only because he may be in need of both, but also because most of the leading banks and financiers insist on their purchase.

A father may want to know if he needs to add his teenage child with a driving permit to his own insurance policy. This requirement varies from state to state and from company to company. Some states allow the insurance companies to make it compulsory for the parents to add their teenage children with driving permit to their own insurance policy. However, in most other states the teenagers with driving permits are allowed to drive a car if an insured driver accompanies them, because the policy of the driver will cover the teenager accompanying them. However, when the teenager receives his driving license, he will require his own insurance to be covered by it.

Some people wonder if they should actually spend money on the purchase of gap insurance. Well, they should, if they can afford it, because this covers total loss of their vehicles. If you have to incur an expense towards repair of damage to your vehicle exceeding the amount your insurer is going to pay, then this gap insurance will cover the excess amount that you have to pay.

0 Response to "Some Common Questions on Automotive Insurance Answered"

Post a Comment