Car Insurance Rates Form:
Types of Car Insurance Coverage for Your Vehicle
There are three main types of automobile insurance, and each one is subject to specific terms and conditions set by the insurance company. Applicable state laws, the requirements of your financial institution (if you purchased the vehicle with a lease or loan), and your own personal comfort levels must be taken into account when choosing an insurance policy for your car, truck, or SUV.
Fully comprehensive auto insurance policies are the most common type. These policies are true to their name, insuring vehicles against theft and accidental damages. Comprehensive coverage protects owners in every type of car accident, whether they are at fault, involved in a clash with an uninsured motorist, or unable to obtain the other party's insurance information due to a hit and run. Vehicles that are leased out by their dealers are typically required to have comprehensive insurance coverage. Drivers who purchased their cars with an automotive loan must also carry a full-coverage policy until the loan has been paid in full.
Third party, fire, and theft insurance offers an average amount of coverage for drivers who do not
feel compelled to insure their vehicles against all possible types of damage.
Like a full coverage policy, third party, fire and theft customers are protected in the event that their automobiles are stolen or damaged in a fire. They are not, however, protected during an accident unless the insured driver is at fault and another vehicle is involved. With a policy like this, coverage will be lacking if your car is the only one damaged in an accident or if the at-fault motorist is uninsured or underinsured.
Simple third party insurance is the most basic type of car insurance. It will only cover a driver who has an accident in which he or she is at fault and another car is involved. Though this is the cheapest type of auto insurance to buy, it can cause you to suffer a great loss if your vehicle is damaged or stolen. Typically, drivers only purchase third party insurance if their cars are older and would cost little to repair or replace.
No matter what type of auto insurance you decide to buy, Advantageauto Quotes .com can search the industry to bring you the cheapest and best rates available for your vehicle.