YOUR Guide to Auto Insurance Coverage's!

[William@SF]

I have created this guide as a first stepping stone to self-educating yourselves on the various coverage's available on many Texas auto insurance policies. Not knowing what your coverage's are or how they can help you is the biggest reason behind why most either pay too much for insurance OR end up with a policy that does NOTHING for them when they have a claim.

I love this community, the cars, and I know how much everyone on here values their vehicles, so read this guide and check YOUR policy to make sure you have what you think you have! Then post, call or message me with ANY questions if needed.



Liability
The easiest way to understand what Liability is used for; is to think of it as your security system. Liability coverage takes care of any property damage or bodily injury caused by you, so that you are not personally/legally responsible for paying to fix it yourself.

The “limits” are broken down into two parts;

1. Bodily Injury (per person/per accident)
2. Property Damage (per accident)

Example:

1. Bodily Injury (30/60)
2. Property Damage (25)

This means you have 30,000 per person and 60,000 per accident to cover any bodily injury
AND 25,000 for any property damage you may have caused.

If the amount of bodily injury or property damage you cause exceeds these limits, you will be financially responsible for the remaining amount yourself. Liability DOES NOT extend its coverage to YOUR bodily injury or property damage! It ONLY covers that party YOU cause damage TO.



Comprehensive
This coverage will allow you to get your vehicle repaired if the damage was caused by something out of your control. Examples of this are: weather related damage, theft and vandalism, falling objects, etc.
In most cases this coverage is subject to the deductible you chose when starting your policy.



Collision
This coverage will allow you to get your vehicle repaired if the damage was caused by a collision with another vehicle, inanimate object, or uninsured motorist and hit and run driver.
Like comprehensive, in most cases this coverage is subject to the deductible you chose when starting your policy.


*Important note*
When you have ALL THREE of the above coverage’s on a policy: that is what’s called FULL COVERAGE. Full Coverage is Liability, Comprehensive and Collision together.



--------------------------EXTRA COVERAGES--------------------------


Uninsured/Underinsured Motorist
This coverage provides both Bodily Injury and Property damage coverage for YOU, YOUR car and ANYONE else in your car, if one of two situations occurs:

1. You are hit by someone who DOESN'T carry insurance or hit by a "hit-and-run" driver
2. You are hit by someone who has insurance, but they do not have enough coverage to cover the total cost of repair for vehicle or to cover medical bills

For this coverage there is only a deductible on the Property Damage portion and that deductible in the State of Texas is $250.



Personal Injury Protection
This coverage is very handy if you need extra medical coverage because of a lack of personal health insurance or because of an inferior current policy. In the event you are injured in ANY way that involves the vehicle, Personal Injury protection can be used to help with medical bills OR to reimburse you for a portion of lost wages if you happen to be put out of work because of the injury.
*The most common limits for this coverage are $2,500 $5,000 and $10,000



Medical Payments
Works the same as Personal Injury Protection except there is no reimbursement for lost wages, it is strictly a reimbursement for Medical expenses ONLY. This coverage is great if you either don't work or are retired and want some extra medical coverage but wouldn't benefit or qualify to be reimbursed for lost wages.
*The most common limits for this coverage are $2,500 $5,000 and $10,000



Rental Reimbursement
This coverage is for you, if you find your vehicle will need to be put in a bodyshop or repair shop after a claim has occured and you need a rental car to get around.
The coverage limits vary but the most common amounts are:

• $20/day $600max
• $25/day $750max
• $30/day $900max
• $35/day $1050max

Inusurance companies handle the claims process with this coverage differently, but the main take-away is; put this coverage on your policy so you aren't stuck with finding your own or paying for your own transportation if you find yourself in a claim.



Towing and Roadside
The details of this coverage (amount/limits) varies between company, however; this coverage in general is very inexpensive and will provide coverage for a voluntary tow, gas, locksmith etc. One thing to note, this covers the service not the supplies; example if you needed gas it would cover the cost of bringing the gas to you, not the gas itself.



I hope this guide helps, it is very general as I tried to make it applicable with whatever company you have for insurance. Feel free to call or message me with any questions!