What is collision coverage in auto insurance?
Covers damage to your car when your car hits, or is hit by, another vehicle, or other object. Pays to fix your vehicle less the deductible you choose. To keep your premiums low, select as large a deductible as you feel comfortable paying out of pocket. For older cars, consider dropping this coverage, since coverage is normally limited to the cash value of your car. Coverage is limited to the terms and conditions contained in the policy. This is not required by a state, but if you have a loan or a lease then the lien holder will require it. How much protection does this coverage provide? The amount you see typically refers to the deductible, or the portion of a claim that you’re responsible for paying. A higher deductible can substantially lower the cost of insurance premiums. You should balance this savings against your ability to absorb a larger out-of-pocket expense. For example, if you set your deductible at $1,000 and your car sustains damages totaling $1,500, you will pay $1,000 a
Collision coverage is for damage to your vehicle (physical damage)from colliding with another object whether you are at fault or another driver hits you. Comprehensive coverage is physical damage to your car other than collision, such as fire, vandalism, theft, etc. Glass and deer strikes are filed under comprehensive.
