What does Collision insurance cover?
If you cause an accident, Collision coverage will help to pay for repairs to your vehicle (after your deductible), or will help pay for a replacement vehicle if you’ve totaled your car.
Collision insurance also helps if you’re involved in a hit-and-run, or if you’re hit by someone driving without insurance.
There are some things neither Comprehensive nor Collision will cover
Your car is covered, your stuff inside the car is not.
Damage you do to your car on purpose.
How much does Collision insurance cost?
It depends on your deductible. The lower your deductible, the higher your insurance rate. Likewise, the higher your deductible, the lower your insurance rate.
A deductible is how much you pay first (before your insurance kicks in). You can choose your deductible amount, from as little as $100 to as much as $1,000 or more. If you choose the $100 option, your overall insurance policy is going to cost a little more than if you choose a higher deductible amount. So it comes down to how comfortable you are paying out of pocket, or paying a higher monthly (or semi-annual) rate.
If you have questions about deductibles, we’re happy to help. Email us at firstname.lastname@example.org.
Do I need Collision insurance?
If your vehicle is leased, or you had to take out a loan to pay for your vehicle, the leasing company (or lien holder) will likely require it. Otherwise, Collision coverage is not required. However, without Collision insurance, if you damage your vehicle in an accident, you’ll be paying for vehicle repairs out of pocket. It depends on how comfortable you are financially, and if you think you’d have enough cash available to fix your vehicle.