Your First Auto Insurance Policy: Things You Should Know

Buying your first car can be an exciting experience, but now that you have your own set of wheels, you’ll need to consider the coverage options on your first car insurance policy.
 
Having a car can be expensive, but don’t let that deter you from getting good coverage. Understanding your auto policy options and exactly what it covers can help you make a comprehensive decision.
 
Here are some coverages to consider.
 
COVERAGE THAT CAN PAY FOR DAMAGE YOU CAUSE
These two types of liability coverages are required in most states.
              Bodily Injury Liability- if an accident is your fault and someone is injured this coverage can help pay for legal fees, the injured persons’ medical bills and lost wages. This coverage has separate limits on the amount for each injured person and each accident.
              Property Damage Liability- this coverage can help reimburse someone for damage you caused to their property such as, a fence or garage door.
 
COVERAGE THAT HELPS PROTECT YOU IF YOU’RE HURT
              Personal Injury Protection (PIP)- this coverage may help pay for your medical costs related to a car accident, including your deductible and costs that exceed your health insurance limits. It could also help pay for lost wages or funeral expenses in a worst-case scenario.
              Medical payments- similar to PIP this coverage can help with medical bills but will also extend coverage to your passengers. It may also help with medical expenses of a family member injured in another car or as a pedestrian.
 
COVERAGE THAT PROTECTS YOU FROM DRIVER’S WITHOUT INSURANCE
              Uninsured/underinsured motorist- this coverage can assist when you’re hit by a driver who has no insurance, or their coverage won’t cover the full cost of the accident.
             
COVERAGE THAT PROTECTS YOUR VEHICLE
              Collision-this coverage helps with repairs or to replace your vehicle after a collision.
              Comprehensive- Coverage that helps with damage not relating to an auto incident; theft, fire or falling objects.
              Guaranteed Asset Protection (GAP)- this protects you if your car is totaled or stolen and will typically cover the fair-market value of the car.
 
If you need help selecting the coverage that fits your needs call our office today. Visit the allstate blog for more information.
 
The team at Hutto & Dalchau Insurance Agency help with auto insurance, home insurance, life insurance, renters insurance and umbrella insurance as well as business, commercial liability, contractor, commercial auto and surety bonds in the Hill Country area. For more information and to learn about our agency visit our website at www.huttoins.com