If you’re shopping for auto insurance, you’re likely aware that your state requires minimum amounts of coverage to handle liability in the event of an accident. It’s important to have insurance to help financially protect you in such a situation. While limited liability insurance and personal property coverage is important for all drivers, this insurance isn’t the only type of coverage available.
In addition to limited liability coverage and collision insurance, drivers should also consider comprehensive coverage. This kind of insurance is also known as “other than collision” coverage. Comprehensive coverage is insurance that helps pay for accidents that don’t involve other vehicles.
Key Takeaways about Comprehensive Coverage
- Comprehensive coverage is useful in cases of damage due to factors outside of your control
- Comprehensive coverage is subject to deductibles
- SelectQuote can help you compare rates, deductibles, and coverage for comprehensive, other than collision, coverage
What is “Other Than Collision” coverage?
Comprehensive coverage—also known as other than collision coverage—is insurance that covers damage to your vehicle not caused by a crash or collision. This can include, but isn’t limited to, accidents where you hit an animal (such as a deer) with your vehicle, hail damage, fire, fallen trees, and vehicle theft.
What does comprehensive insurance cover?
Comprehensive insurance covers damage to your car outside of a crash or a collision (such as hail, a fallen tree, theft, etc.). You can make an insurance claim against your comprehensive coverage in several cases, including those mentioned above. For example, if a fire starts in your garage and your car is damaged, it could be covered under a comprehensive car insurance policy. Likewise, comprehensive insurance can cover items such as:
- Falling objects
- Civil disturbances or riots
- Broken or cracked windshields
- Damage due to animals
- Vehicle theft
What does comprehensive insurance NOT cover?
Comprehensive coverage can cover all sorts of damage to your vehicle, but there are a few key situations where it might not. For example, comprehensive coverage won’t pay:
- Damage from a collision with another vehicle or object
- Damage to other drivers’ vehicles after a collision
- Medical expenses related to an accident
- Theft of items from inside your vehicle (often covered by homeowners insurance)
Comprehensive vs. Collision Insurance Coverage: What’s the difference?
The main difference between comprehensive car insurance and collision insurance coverage is that one covers any damage that happens to your car because of another object, such as a deer running directly into your vehicle or a tree falling onto it (this is the case for comprehensive coverage). Collision insurance coverage will help cover the damage if your vehicle hits another vehicle, pole, or other stationary object.
Comprehensive Insurance Deductibles
Comprehensive insurance—like most other forms of insurance—is subject to deductibles, or the amount of the repair costs you’re required to pay before the policy kicks in. For example, consider that a hailstorm or fallen tree results in $4,500 in damage to your car. If your deductible is $1,000, that means your insurance company will only pay $3,500. You’ll be required to pay out of pocket before the company covers the rest.
A lower comprehensive deductible will likely result in higher premiums, as the amount of insurance increases. Similarly, higher deductibles can decrease your overall premium costs. If your vehicle is brand new, costly repairs or replacement can be covered by your policy. By comparison, an older car or clunker may not be worth as much as the deductible or even the monthly increase in premiums that a comprehensive insurance policy brings.
If increased insurance premiums due to a low deductible are a concern, you can always shop around for coverage that includes a higher deductible. You may also want to ask about any bundling opportunities or discounts for safe driving or loyalty.
Why would I need comprehensive coverage for my car?
If your car was totaled or even damaged due to a natural disaster, could you afford the cost of replacing it completely? What if a deer or other animal darted out in front of your car while traveling down the highway? In cases such as these, comprehensive coverage can go a long way toward protecting your vehicle.
Another factor to consider in purchasing comprehensive insurance is the frequency of theft and vandalism in your area. Although rates of car theft in the United States have decreased over the past few years, comprehensive coverage can help cover the cost of replacement if your car isn’t returned.
Make Sure You’re Covered with the Right Auto Insurance
When you’re shopping for insurance for a brand new vehicle or have questions about your existing vehicle’s coverage, it’s always important to understand your options and how they can fit into your budget. Collision and comprehensive coverage can go a long way toward protecting your investment and keep you on the road.
At SelectQuote, we can help you determine your coverage needs and comparison shop for collision coverage, comprehensive coverage and other types of auto insurance coverage. We can help you find the right auto insurance policy for your needs. Get started on your free quote today.