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Comprehensive auto insurance has a breathtaking name because it is anything but “comprehensive”. It pays off for a very specific set of problems. If you have a car loan, your lender likely needs it.
And if your car gets paid for, you probably want it too, if you are an excellent driver. That’s because it pays to have comprehensive coverage for issues unrelated to the quality of your driving. It even pays off for things that can happen to your car when it’s in the driveway.
What if my car is out of a parking lot?
According to the National Insurance Crime Bureau (NICB), thefts of cars with the keys left in them are on the rise these days. Maybe leave your car running for the air conditioning while you go to a grocery store. Whatever the reason, your vehicle can be an effortless asset to a thief.
Interestingly, Mondays are the hottest day of the week that vehicles with keys are stolen, according to the NICB, followed by Fridays. Most key thefts occur in the Las Vegas, Miami, Atlanta, Chicago, and Dallas areas.
Even if you left your keys in the car, fully comprehensive car theft insurance pays out if the vehicle is not recovered.
What if someone taps my car?
Damage caused by a car with a key is considered vandalism and would be fully covered. The same is true if you came out and found that your car was spray painted or otherwise intentionally destroyed.
What about an animal that runs into the street?
Hitting a deer is a classic example of an animal collision that is covered by fully comprehensive insurance. Animals of all sizes, such as wild turkeys and dogs, can jump into the street in front of you and cause car damage.
Full coverage pays for your vehicle damage minus the amount of your deductible.
What if my car is tossed around in a tornado?
A tornado may seem like a freak event, but fully comprehensive insurance covers weather-related damage such as tornado and wind damage. It also pays off for hail damage.
What if something crushes my car roof?
Large branches can crush your car even in an ordinary storm. Or imagine a tornado sending any number of objects towards your car. If a falling object damages your car, comprehensive coverage pays off.
What if my car was washed away in a flood?
People who survive devastating floods often focus on drying out and repairing their homes. That’s understandable, because houses are a much bigger investment than cars. But floods also often wash away vehicles.
Even if you drive into a large “puddle” that is deeper than you thought, it can cause vehicle damage.
In the event of damage from vehicle floods, the fully comprehensive insurance covers either repairs or the value of the vehicle, if this adds up.
Acquire Comprehensive Coverage
Whether you are buying comprehensive coverage because you are required or want to, you know these important points:
- Fully comprehensive insurance pays for either repairs or the value of the vehicle if it is total. For example, if your car has a key, repairs are paid for. When your car is in a tornado, it pays the value of the vehicle.
- Nationwide, the average premium for comprehensive coverage is around $ 160 per year, according to the National Association of Insurance Commissioners (NAIC).
- The average total damage is about $ 1,300, according to the NAIC.
- Comprehensive coverage and collision protection are often put together by auto insurance companies.
- You choose a deductible amount when you take out fully comprehensive insurance. This is the amount that will be deducted from an insurance check when you make a claim under Full Insurance.
- Comprehensive coverage does not pay for others. If you cause harm or injury to someone else, it is covered by your auto liability insurance.