What is comprehensive car insurance?

Many drivers believe the term comprehensive car insurance implies coverage against all damage? This unfortunately is not the case. Comprehensive car insurance provides coverage against damage from:

• Fire
• Theft
• Vandalism
• Acts of God and
• Natural disasters like floods and hurricanes

The first thing to understand about comprehensive car insurance coverage is that every car insurance company offers a varying degree of coverage so investigate fully before taking on a new policy.

“In its basic form comprehensive car insurance covers the car should damage occur from natural forces, for instance a tree falling on the windshield, a hailstorm damaging the car, or vandals breaking windows or keying the car”

If you leave you car parked overnight and find yourself to be a victim of auto theft the next morning then most likely you are covered, however should you take the car out of the garage and reverse into a passing car causing a collision and resulting damage to the car, you are not covered under the comprehensive car insurance coverage element.

What are Acts of God?

There are many forms of Acts of God which could be defined from animals wandering across the road to lightning and freezing conditions. Look carefully at the small print to understand the extent of coverage given and what is defined as an Act of God. Fire, Vandalism and theft are easy to understand but Acts of God and Natural disasters are a little trickier and each company sees these two categories in different lights. You should always ask for comparative quotes from car insurance companies and an explanation of what exactly is covered before making a decision on any car insurance provider.

Collision insurance is a separate policy and one that should be taken in conjunction with comprehensive car insurance, comprehensive covers just about all damage except from collision damage.

It is important to remember that should your car be stolen then the ‘’Blue Book’’ value of the car will be paid out (many times less than the amount owed on a car loan) so also understand why GAP car insurance is crucial – especially to those consumers who have financed a late model car with less than 20% down. The best car insurance coverage comes with research so ascertain the cars true value (not the price you paid) and make sure to obtain car insurance for at least that amount. Should you feel, for whatever reason, the car is more valuable to you than its book value, consumer usually have the option of taking on further insurance – modified or antique cars would be a good example of owners looking for additional car insurance.

If you are buying a new car or even a second hand car that requires monthly payments to complete ownership then the sales company will insist you take comprehensive car insurance.  The costs of this policy vary considerably and are determined by the cars age, condition of the car, make, where it will be parked, your driving history and more.

Car insurance companies also offer many types of car insurance discounts so finding cheap car insurance for young drivers or simply just an affordable car insurance policy is possible. One of the most common discounts is a “Good Driver Discount” where if you are accident and moving violation free for three or more years you are rewarded with deep discounts on insurance premiums.

Comprehensive car insurance usually covers all risks not caused by a collision with another car. All companies vary and some are more generous than others so look at the fine print to discover the types of inclement weather considered and natural disasters recognized.  Remember that although the car is covered it does not mean that the contents of the car are covered or any additional features installed covered, such as a top of the range sound system, car seat covers, fancy wheel trims or non factory installed parts.

Should you wish these extras to be recognized and be included into the car’s value you may photograph the car show proof of its improvements and ask advice from your car insurance company? Many times car insurance companies will adjust your coverage based on proof extra value has been added to the car but also be aware that some modifications can also lead to a car insurance company cancelling your policy or refusing to pay a claim if the modification was never disclosed.

Your premiums are further affected by the deductible you agree to, the higher the deductible the less the premium, at first this seems a little unfair, after all why should you be paying the first $500 on a shattered windscreen? Consider this, the car is stolen or even found washed up at the end of the road due to flooding, you still only have to pay the first $500 and the value of your vehicle will be returned to you.

When such a disaster has occurred the recovery process is fairly simple, dial the toll free number given to you by your insurance company and they will send an insurance adjuster out to assess the damage. Once a value is arrived at via several quotes, a check is released and you are well on your way to being back on the road. You can always bargain with a car insurance company to get more.

To insure total peace of mind always compare car insurance companies. We make it easy with a simple ZIP CODE search to find local providers nationwide. Get FREE Car Insurance Quotes today.