Many coverages are there in insurance policies, but not any other issues can be covered through that particular policy. So, for that the other types of issue of damage or accident there is a comprehensive auto insurance covers. What is comprehensive insurance? It is a type of collision coverage where the claim of damages covers, when the accident occurs other than any collision, as per the insurance policy. In other words, it covers the damage of the vehicle, due to stolen or damage occurs from accident regardless of who is at fault. Also there is a deductible which you have to pay out of your pocket and the rest amount of money paid by the insurance company.
Covering policy: what it covers or not?
All the insurance policies have some conditions or rules over the covering of compensation. They have some limitations over covering the claimed amount. Likewise, in the comprehensive collision insurance, the policy covers the claim of compensation when the damage of your vehicle caused by fire, wind, hail, flood, storm, hitting an animal and stolen of the vehicle.
Other than the above conditions the policy doesn’t cover the claim of compensation due to, collision of the vehicle with other car or object like tree, wall or fence.
Collision vs comprehensive insurance
All you know that, what is comprehensive insurance? It is a vehicle insurance for the coverage of claim due to any accident or damage, where no one is faulty. Now, let a look over the difference between the collision insurance and the comprehensive collision insurance.
In collision coverage, your insurance company pays for damage to your vehicle when you collide with another vehicle or object. When you hit your car with any nonliving object than collision insurance applies.
In comprehensive coverage, your insurance company pay you for the damage of your vehicle cause by any event other than collision. If there is a stolen or damage through flood, fire etc. than the comprehensive coverage apply.
Highlights of comprehensive insurance
- We already know that what is comprehensive auto insurance coverage? This is an insurance of your vehicle for the damages occurred by stolen or by fire, floor etc.
- now the benefits are quite clear from the above sentences. All the benefits are, coverage of your vehicle damage and coverage of the cost of replacement of your vehicle.
- The comprehensive insurance does not cover the cost of damage occur from any collision from any other car or any nonliving object like, tree, wall etc.
- Also the term for the deductible are similar to other policies. You can select your own deductible amount. As per the selected amount you can pay the rest amount and claim the amount of coverage from the insurance company.
All this above information may help you to insured your car/vehicle in comprehensive insurance. Also, the terms and policies may different somewhere as per the institutions’ rules and regulations or as per the market conditions. If you are not aware of these and not get fully satisfied from this article than go through the other sources for the rest of the knowledge and your queries, you can get a complete knowledge from an expert of any insurance advisor near you.