If you have paid off your car, comprehensive coverage is optional. It may be a good idea to find out the Kelley Blue Book value of your vehicle. Would you be able to pay that amount to repair or replace your vehicle if it were stolen or damaged in an accident? If you can't afford to pay much out of pocket, then buying optional coverages, like comprehensive coverage and collision coverage, may be a smart investment.
Across the board, the longer you have insurance — and the more insurance you have — the cheaper your premium will be. Insurance companies use data showing those who cover their vehicles above and beyond state minimum coverage requirements as less likely to file a claim or get into an accident. These drivers are also considered more financially stable.
No states require comprehensive coverage, but those who finance or lease their car will probably find that their lender or lessee requires it. Lenders and lessees are the official owners of the vehicle, so they want to make sure they're adequately protected in case of an incident. For the same reasons, you'll rarely be able to buy comprehensive insurance without also purchasing bodily injury liability and collision coverages.
Comprehensive insurance is a coverage that helps pay to replace or repair your vehicle if it's stolen or damaged in an incident that's not a collision. Comprehensive typically covers damage from fire, vandalism or falling objects (like a tree or hail). If you're financing or leasing your car, your lender likely requires comprehensive coverage. If you own your vehicle outright, it's an optional coverage on your car insurance policy.
For car owners (and leasers), collision insurance is arguably the most important kind of coverage and in many states is required by law. This coverage, however, is limited to physical injuries and damage caused as the result of an accident. Anyone who has parked a car on a city street, in a flood zone or within range of egg-flinging teenagers likely knows that there are many other ways a car can be damaged. That's where comprehensive auto insurance comes in.
As with any credit check, a record of this search will remain on your file – and your credit rating will affect the amount of APR that you’re charged. If you have a poor credit rating, you may be charged up to 20% APR. And if you’ve struggled to pay credit in the past, or if you have a CCJ to your name, then you may be denied the option to pay monthly. If you think you’ll have issues with your credit rating, you can read our guide on improving your credit score.
If a parent's greatest fear is their child getting behind the wheel, covering their car insurance premium might be a close second. On average, adding a teen driver increases annual car insurance rates by about 83%. This is because of the risks posed by teen drivers: they're less experienced and more likely to take risks behind the wheel, leaving the insurance company vulnerable. We assessed premiums from top insurers after adding a teen to the car insurance policy of a married couple.
Mark was driving on the highway and all of a sudden a rock hit the windshield and created a crack. As soon as Mark got home, he called his insurance representative and was told that he didn't need to worry, he had comprehensive coverage which may help to repair or replace a broken or shattered windshield, he may only have to pay his deductible and the rest would be covered.
If your car is worth more than $3,000 and/or is less than 10 years old, we'd also suggest both collision and comprehensive coverage, too. Our estimates suggest drivers can buy comprehensive and collision insurance for an average of $600 to $700 per year (however, the cost may be higher for some cars), so you would spend $3,000 to $3,500 in premiums over five years. If your car is currently worth less than $3,000, you will have spent more on insurance than your car is worth. You can obtain the estimated value of your car from sites like Kelley Blue Book and Edmunds. Once you have both the value and a quote for coverage, you can determine whether collision insurance will be worth it.
BTW regarding the wreck- do NOT talk to the other insurance company- the @ fault driver’s insurance company. You’re not required if you have a lawyer. Get a lawyer!! Call them from the hospital if you have to they’ll come to you @ the hospital if you call them there. They’ll even come out to your house. Please don’t let the insurance company screw you. You just want what’s fair & your property covered fairly.
Comprehensive car insurance coverage includes a deductible (the amount you will have to pay out of pocket). An example of how comprehensive car insurance works would be if a deer ran across the road, into the side of your car and caused $4,000 in damage. First, you would file an auto insurance claim or a request for the insurance company to pay for your losses. If you have car insurance with The Hartford, you can file a claim here. Next, your car would be repaired. If you have a $1,000 deductible, you pay the first $1,000 of repair costs and The Hartford covers the remaining $3,000.
Naturally, this discount is offered for drivers with clean driving records. Good driver discounts can be added when your Motor Vehicle Report or CLUE report is pulled at the inception of your auto policy. If you're convinced you have a clean driving record — meaning no at-fault accidents or violations — and aren't receiving a discount, speak with your insurance company and ask if they offer a discount for good drivers. By keeping a clean slate, you can earn a discount of approximately 10% while avoiding the costly penalties listed below.