If you are the owner of a vehicle, then the chances are good that you already have auto insurance. In fact, it is mandatory by law in every state, although the coverages needed will vary from state to state.
Typically, comprehensive and collision coverage are not mandatory, but if you have a vehicle that is worth more than $5,000, it might be worth considering. Also, if you happen to be purchasing a vehicle by using financing, most lenders will require these types of auto insurance. Most of the time you will find comprehensive auto insurance and collision auto insurance being sold as a single entity…even though they are different. Collision insurance covers any physical type of damage to your own vehicle that is caused by an accident involving another vehicle or object. Comprehensive auto insurance covers any type of damage to vehicles that is not caused by a collision. This could be a run in with a deer. It also covers damage related to weather as well as the theft of your vehicle.
A simple way to remember the differences between the two is to relate collision auto insurance to collisions or accidents with vehicles or other things that aren’t alive. Comprehensive is what takes care of collisions with animals, weather-related damage and damage that is due to vandalism or theft.
Both of these types of auto insurance are not typically required with the state minimum requirements. That typically only involves liability, which will cover the cost of damage to the other party’s property when you are at fault in an accident.
If you are in the Orange Park, FL area and need more information, call or stop by First Florida Underwriters Inc today. We have friendly and knowledgeable agents standing by to answer all of your questions.