Whats included in Collision and Comprehensive coverages, and what should my deductibles be?
Collision coverage: If your car overturns or collides with a car or another object, collision coverage pays for the damage to your vehicle or the cost to replace it, if it cannot be repaired. Collision coverage includes a deductible, such $250 or $500. This means that you are responsible for paying the amount of the deductible in any loss, before the insurance company is responsible for payment. For example, if the cost to repair your car is $1,500 and you have a $500 deductible, your company will pay $1,000 toward the repair costs. You are responsible for paying the first $500 to the body shop when the work is completed. Collision coverage may also apply to a rental car when you are on vacation. Check with your company before you rent, so that you can decide whether you need to purchase additional coverage. Comprehensive coverage: If your car is damaged by some event other than a collision or your car is stolen, Comprehensive coverage will pay for the damage. Damages may result from f