Understanding the Different Types of Auto Insurance

This article will help give you a betterthis insurance is good to have if you own the
understanding of the different types of autovehicle out right. Your premiums will be much
insurance. In a nutshell, there are 2 types of autocheaper and you can save some of that money
insurance for you to choose from: PIP (Personalin a savings account to repair your automobile
Injury Protection) and Comprehensive Collisionshould you be involved in an accident. This gives
coverage. I will give a brief overview of each.you the freedom to use YOUR money when you
PIP or Personal Injury Protection: This is theneed, rather than paying for full coverage and
cheapest form of auto insurance to purchase. Allpossibly never using it.
states require that you have, at the minimum thisComprehensive Collision (Full Coverage): This
coverage. This insurance will cover you if youinsurance will take care of the needs outlined
cause an accident or have a one vehicle accidentabove as well as repair your automobile if it is
and you cause property damage to someonedamaged. Most of the time with this type of
else's vehicle or other personal property. this willcoverage, the cost of a rental vehicle is covered
not pay for the damages to your vehicle, but willas well. This will make it so that you will have a
pay to repair the other person's vehicle involved.vehicle to drive until yours is repaired. If you
In the case that it is a one vehicle collision andpurchase a vehicle and make payments on it you
you damage someone else's property (a fence,will be required by law to purchase this coverage.
structure, or any thing else of value) thisObviously the cost will increase also.
coverage will pay to have it replaced or repaired.