What Is Collision Car Insurance?

China iTech Ghana
Saturday, October 2, 2021 | views Last Updated 2021-10-02T18:58:28Z

At some point, every car on the road is going to hit something – a pothole, a tree, or another car. The damage from these collisions can be expensive, and that’s where collision car insurance comes in. It's a common type of auto insurance, but it doesn’t cover all types of damage to your vehicle, and it’s not something that every driver has to get. Here’s how to figure out if collision insurance is right for you.

Collision Car Insurance Definition

Collision car insurance is a type of auto insurance policy that covers damage to a car that results from a collision with another object. That means that if you drive your car into another car, a fence, a pole, or a tree, or if you roll or flip your car, collision insurance covers the damage. Collision insurance also covers damage to your car from a hit-and-run accident or if you’re in a collision in a no-fault state.

Note that collision insurance only covers damage to your car if it collides with another object. If you hit an animal or other living thing with your car, you’ll need comprehensive car insurance coverage to pay for the damages. Collision coverage also only provides coverage when it’s your car doing the colliding with an object. While collision coverage protects you if you hit a tree with your car, it won’t protect you if a tree falls and hits your car. It also doesn’t cover damage due to theft, weather, or natural disaster. For those types of damages, you again need comprehensive insurance and would make a comprehensive claim to your insurance company.

It’s important to stress that collision coverage only covers damage to YOUR car. If you hit another car, you’ll need liability insurance to cover damage to that car. By the same token, if you hit a fence, you’ll need collision insurance to cover the damage to your car and liability insurance to cover the damage to the fence. Collision insurance also doesn’t cover medical bills related to injuries you or another person suffers as a result of your car being in a collision. Collision insurance does not typically cover the cost of a rental car while your car is in the shop. It only covers damage to your car. If your car is damaged beyond repair, collision insurance pays you the cash value of your car.

Check out our guide on how car insurance works for a full rundown of types of car insurance and our guide on how much car insurance you need to figure out the coverage that’s right for you.

Comprehensive Car Insurance vs. Collision Car Insurance

You might think because you have comprehensive insurance coverage on your vehicle that you’re covered for everything. After all, that’s what comprehensive means. When it comes to car insurance, however, comprehensive has a more specific meaning.

While collision insurance covers damage to your car as a result of colliding with an object or another car, comprehensive insurance covers things that are outside your control. Think of it this way: Collision insurance covers you for the most common type of accident while you’re driving, and comprehensive coverage covers you for damage to your car not related to driving it. The addition of comprehensive coverage to other types of auto insurance policies is what makes your coverage truly comprehensive. Collision coverage protects you in case of a car accident, but tree branches, hail, theft, collisions with moose – you need comprehensive coverage to protect yourself there. You can learn more in our comprehensive car insurance guide.


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  • What Is Collision Car Insurance?

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