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Comprehensive Insurance

Insurance which covers damage to a vehicle caused by events other than a collision, such as flood, fire, hail, theft, or vandalism.

Comprehensive insurance is part of owning or leasing a car is having the appropriate car insurance.  There are several coverage’s that you can get on your car, so it is important to understand them all in order to make informed choices.  One option for auto insurance is comprehensive insurance.

Comprehensive insurance covers damage to your car for incidents other than a collision.  For instance, if your car is stolen or vandalized, comprehensive insurance covers it.  If a flood or hail storm damages your car, comprehensive insurance pays for the repairs.  This insurance has a deductible that must be met before the insurance company begins to pay for repairs.  This means the insurance pays once the damage reaches a predetermined, monetary amount.

Comprehensive insurance differs from collision insurance.  Collision insurance pays for fixing your car if it is involved in a crash with an object or car.  When getting this insurance, you set a deductible amount for the repairs on your car.  Since the insurance company has to pay for the repairs if you have collision insurance, the company will pursue the other insurance company involved if the collision is not your fault.  Your company does not want to pay out of their own pocket for something that was someone else’s fault.

When shopping for car insurance, keep a couple of things in mind.  First of all, find out what insurance is required by law in your state.  Obviously, that is the insurance that you absolutely have to get.  Second, consider the value of the car.  If it is a new car, you may want to go ahead and get as much coverage as you can for it.  If, however, it is an old clunker, decide if it is financially worth it to get collision or comprehensive coverage.  In that case, it may cost more to cover the car than it is worth.