Your bags are packed. You checked your car’s oil level and tire pressure. You put the newest podcasts on your stereo, and you’re ready to set off for the 2,850-mile journey across the country. As fun as this summer road trip sounds, you may want to brush up on better understanding your current auto insurance policy, just in case. Of course, we are assuming that you have auto insurance coverage (it is the law, you know).
So, before buckling up, use our chart below to help you decode your existing coverage and determine if you have the amount of protection necessary for the long ride ahead.
|What You Want to Know…||Look at Your…||Make Note Of…|
|What covers damage or theft of my car?||Collision Coverage and Comprehensive Coverage||Collision Coverage covers damage incurred in an accident. This will be required by a lender.
Comprehensive Coverage covers damage or theft outside of an accident (think: tree falling on car).
|What covers injury or damage I cause to others (people or cars)?||Bodily Injury Liability/Property Damage/ Liability Coverage||Minimum coverage is required by state and amounts vary.
Bodily Injury Liability Coverage covers injury-related expenses, such as medical, legal, loss of income, pain and suffering, and funeral incurred by an injured person (other than yourself, inside or outside of your car).Property Damage Liability Coverage covers damage to the other party’s car or property.Coverage might be illustrated as: 100/300/50, which covers: per person injury/per accident total injury/property damage.
|What about my injuries and medical costs?||Medical Coverage||Available regardless of who is at fault and no deductible is required.
Access to funds can come in handy to cover delays and restrictions by your health insurance company. If sufficient, it can cover health insurance deductibles and copays.
|What if the other driver does not have insurance?||Uninsured/Underinsured Motorist||Might be required by state. Covers injury expenses incurred by you (and passengers) if you are hit by a driver with inadequate coverage, no coverage or a hit-and-run.
Additional coverage might be added to cover property damage to your car (recommended).