Insurance policies pertaining to vehicles offer different kinds of coverage and with different prices. The following auto insurance information clears up what insurance can can:
• Bodily Injury Liability – This covers medical expenses, pain and suffering, lost wages, and funeral expenses for the people injured in the accident wherein you are legally held responsible. This will also cover the legal fees to defend yourself in the event of a lawsuit.
• Property Damage Liability – In an accident when you are at fault, this insurance coverage will pay for the repair cost of the damage vehicles and any other properties damaged by the mishap such as street lamps, buildings and other infrastructures.
• Collision Coverage – This coverage will pay for the damages to your car and the other party’s vehicle as result of the accident. When you are at fault, the insurance company will reimburse you of the repair costs after you have paid for the deductible amount. When you are not at fault, the insurance company will then seek reimbursement from the other party to pay for the repair costs of your vehicle.
• Uninsured/Underinsured Coverage – This particular kind of coverage will aid you and your passengers in medical expenses after being injured by a motorist who is not insured or underinsured provided that the driver had been held legally responsible for the accident.