What are the primary benefits of having car insurance?

Car insurance is a priority for all individuals who own a car or would buy a car in near future. It is mandatory to have car insurance in most of the states and the insurance has different types of benefits or coverages.

Benefits of car insurance

The benefits of having car insurance can never be overlooked. It provides coverage for many incidents. Some of the basic benefits of car insurance are:

* Coverage for bodily injury liability – It provides protection if you injure or kill someone while driving your car. It also covers your legal expenses if the other party files a lawsuit against you.



* Coverage for medical expenses - It covers the medical costs of the injured driver as well as he medical expenses of the passengers. You may also be covered if you are injured as a pedestrian by other vehicles.



* Coverage for hit-and-run cases – It provides coverage for injuries caused by hit-and-run drivers, though it varies from state to state. It also provides coverage against uninsured and underinsured drivers.



* Coverage for comprehensive damages – Car insurance provides protection against comprehensive physical damages other than collision with another car. It pays for losses resulting from flood, fire, earthquake, theft, vandalism and even for collision with animals.



* Coverage for car collision – If your car is damaged in an accident or collision with another car, caused by you or by the other party, your insurance will bear the loss. Your collision coverage also provides protection against collision with any other objects too.



* Coverage for property damage liability – Your insurance will protect you if your car damages someone else’s property like another vehicle or any other object. It also covers your legal expenses if the other party files a lawsuit against you.



* Coverage for rental vehicle - It pays the cost of a rental car in the event of your car being stolen or being disabled due a loss covered by your policy. This coverage reimburses your transportation expenses upto a fixed time limit specified in your policy.



* Coverage for totaled car – It provides protection to your car in case your car gets totaled in an accident by paying you the Actual Cash Value (ACV) of your car i.e. the present value of your car minus depreciation.



There are many additional benefits that you can get if you have car insurance, apart from the above mentioned primary benefits. You must shop around for an affordable policy.