There are an average of six million car accidents in the United States every year. More than 90 people die in car accidents across the country every day, while three million people are injured annually.
Every state in the country has its own auto insurance coverage requirements. For example, every state (except for New Hampshire) requires drivers to have both property damage liability and bodily injury liability coverage.
In North Carolina, drivers are required vehicle owners to show proof of sufficient liability auto insurance before license plates will be issued. In this blog post, we will highlight the different types of car insurance that exist and what they offer. Let’s get started.
Liability Auto Insurance
This type of auto insurance provides financial protection for drivers who harm someone else (or their property) during a car accident. It is designed to pay medical expenses for someone in the event you were deemed at fault for the accident. This type of coverage applies to the policy owner and anyone listed as a driver in their policy.
Uninsured Motorist Coverage
This type of coverage is designed to protect a motorist if they are in an accident with a driver who has no insurance. Another type of coverage here is underinsured motorist coverage. This works to protect a motorist if they are involved in an accident where the at-fault driver does not have sufficient insurance.
Collision coverage is a type of auto insurance that pays for damages to a motorist’s own vehicle or property. This includes damages that were caused by a collision with another vehicle as well as a result of hitting a tree, fence, or another stationary object.
With this type of auto insurance, a motorist is reimbursed for the theft, loss, or damage to their vehicle caused by something other than a collision. This may include damage from hail and other falling objects, fire damage, and damage caused by animals.
Personal Injury Protection Insurance
Personal injury protection coverage helps to pay any result medical bills if a motorist or a passenger in their vehicle is hurt in an accident. It can also cover lost wages for the driver or any passengers who are unable to work as a result of the accident, as well as funeral expenses in the event that the accident resulted in a fatality.
Understanding the Different Types of Auto Insurance
Some other types of optional auto insurance include new car replacement coverage, roadside assistance coverage, gap insurance, and towing and labor insurance.
If you are looking for the best auto insurance coverage at the best rate, your premier choice is Tom Needham Insurance Agency. We provide you with a selection of competitive car insurance quotes from some of the top car insurance companies. These include Progressive, Safeco, Travelers, State Auto, MetLife, American Reliable, Foremost, Dairyland, and more.
Contact our expert team today to learn more about automobile insurance.