When I Buy Car Insurance, WHAT am I Insuring?
When I Buy Car Insurance, WHAT am I Insuring?
It seems like a straightforward question, yet the answer can be a bit more complicated. “When you buy car insurance, WHAT ARE you insuring?” Are you insuring yourself as a driver? Are you insuring a vehicle? Perhaps you are insuring against financial damages from injuring another person or the car or other property. Let’s take a closer look at some of the aspects of automobile insurance.
All states have some form of financial liability laws that generally requires minimum levels of liability insurance. This liability coverage takes care of your legal responsibility to others for bodily injury or property damage. This follows the driver should they be driving a vehicle owned by someone else. In this instance, their own auto liability insurance will usually cover them in an accident.
That being said, in other circumstances, insurance usually follows the car. For example, when you have comprehensive and collision coverage, you are insuring a specific vehicle. This is why the mileage you travel, where you park your car and year, make and model will have such an impact on your insurance rates. Keep in mind, however, that there will be drivers that need to be listed as insureds on an automobile policy, such as members of your family that are of legal age. So while the insurance follows the car, the insureds must be named to be covered while driving the car.
It can get a bit more convoluted when you allow a friend or neighbor to drive your insured car. This can best be deciphered by reading your policy to see if your insurance will cover others who drive your car with permission. Often a policy will defer to the driver’s, not the owner’s coverage for protection.
When renting a car, whatever coverage you carry on your personal vehicle will generally transfer to the rental car. If you have liability coverage, that will transfer. If you have comprehensive and collision, that will transfer.
The ins and outs of auto insurance are just one reason having your own independent insurance agent makes so much sense. We are here to review your policy, answer your questions, and make sure you have the appropriate coverage for your particular situation. We invite you to contact us for your complimentary review and potential savings.
Do you have questions about your insurance? Find an insurance agent near you with our Agent Finder
Search All Blogs
Search All Blogs
Read More Blogs
Unwrapping the Wiener: A Deep Dive into the History and Lore of the Hot Dog
Beyond the bun: Discover the surprising history, varieties, and enduring appeal of America’s favorite tubular treat.
The Untapped Power of Collaboration: Why Asking for Help Fuels Business Success
Stop going it alone! Discover how leveraging the expertise of others can relieve pressure and drive your business forward.
Navigating the Grandparenting Journey: Understanding Today’s Families
Grandparenting today: Learn key shifts in family dynamics to build stronger connections with your children and grandchildren.
Mapping Our Paths: The Fascinating Reasons Behind Our Road Networks
The story behind the asphalt: Explore the geographical, historical, and planning influences that shaped our modern road systems.
Neighborly Navigations: Resolving Disputes in Non-HOA Communities
No HOA, no problem? Learn how to navigate neighborly disputes effectively in communities without formal management.
Vintage Years of Vision: Four Times Hollywood Hit Cinematic Gold
Like fine wines, certain years in film history stand out for their exceptional quality and the enduring impact of the movies they produced. This article explores four such landmark years, presented chronologically, that many cinephiles consider to be among the greatest in cinematic history.
Green Means Growth: How Environmental Responsibility Can Boost Your Business
It might seem like a secondary concern when facing immediate business challenges, but embracing environmentally friendly practices can actually be a powerful strategy for improving sales, attracting top talent, strengthening your brand, and even saving money. This article explores the tangible benefits of going green for your company’s bottom line and long-term success.
The Forgotten Beauty: Unearthing the Story of the Volkswagen Karmann Ghia
Beyond the iconic Beetle and the groovy Microbus, Volkswagen produced a surprisingly elegant and often overlooked sports car: the Karmann Ghia. This article explores the history, design, and enduring appeal of this “poor man’s sportscar” that has become a sought-after collectible.
Peace of Mind at Home: Building Your Essential Supply Stockpile
Recent global events have highlighted the importance of being prepared for the unexpected. This article outlines key non-perishable food items and essential household supplies that every homeowner should keep on hand to ensure comfort, security, and resilience during unforeseen circumstances.
Faded Glory: Remembering the Sports That Once Ruled Our World
Remember when these sports were huge? Take a trip down memory lane with harness racing, bowling, boxing, and poker, and explore their shift in popularity.