Car Insurance Terms

Car insurance terms need to be understood in order to know that you are getting the best coverage. Listed below are the most common car insurance terms to help you understand the insurance coverage you are going to compare insurance quotes for.

Bodily Injury

The term bodily injury refers to an injury sustained by an individual

Bodily Injury Liability Coverage

Bodily Injury liability insurance covers you against claims filed against you for bodily injury or death that you are found to be responsible for. The car insurance company will provide you with legal defense

Collision Car Insurance Coverage

Collision car insurance coverage will pay for the repairs for an insured vehicle that was damaged when it hit or was hit by another car. The car insurance provider will even pay for the repairs if the insured ran into some sort of object or animal

Comprehensive Physical Damage Coverage 

Comprehensive physical damage coverage insures you against theft, vandalism, floods, fires along with a list of other things. So it is best to ask the car insurance provider you choose what is exactly covered

Liability Insurance

The car insurance term liability insurance refers to insurance coverage that will protect you from claims filed against you from injuries or damage to other people or property

No Fault Insurance

No-fault insurance will pay for medical treatment, hospital visits, wages or any sort of loss incurred due to a claim filed no matter who is found at fault

Property Damage Liability Coverage

Property damage liability coverage will pay for damage to another persons property that has resulted of an incident you are found responsible for and provide legal defense if needed

Uninsured and Underinsured Motorist Coverage

This car insurance term refers to coverage that is provided by the insurance company and will pay for your injuries or property damaged by an uninsured driver, and in some states this insurance extends cover damage from an unidentified driver. Also if the driver found responsible for causing the damage to you does not have enough insurance to cover all the damage then this will cover the remain balance up to the amount of coverage you have agreed upon