Financial Security and Your Home Insurance Policy

Every year, more cars hit the highways. As this number goes up, the possibility of accidents also goes up. If you get in a car wreck, the car insurance you have can make a large difference in how much you have to pay. How can you decide what insurance you need and how to purchase it? Insurance requirements vary by state/province, but typically include the following: Liability: This type of insurance can pay for the damage that you have caused. These damages can include personal injury, and property damage. Damages from bodily injury can include medical expenses, lost wages, and pain and suffering. Property damage includes car repair costs and loss of property use. If you are in legal trouble, it also pays your court costs. Recommended, more comprehensive levels of liability insurance are available that cover more than the lower, state-mandated insurance. Personal Injury Protection: This type of insurance pays for the medical treatment for you and other people in your car, regardless of who was responsible for the crash. It is occasionally called no-fault coverage. This insurance may also cover lost wages, service replacement and funeral expenses. Local law typically sets minimum amounts. Medical Payments: This coverage can be purchased in states that are not considered no-fault; it pays regardless of who may be responsible. All necessary medical or funeral expenses will be paid for under this insurance coverage. Collision: Pays for damages to your car caused by an accident. Comprehensive: This type of insurance protection takes care of all damages not caused by a collision. This may include weather damage, vandalism, and robbery. Uninsured Motorist: Pays for damages when someone with insurance is in a crash caused by another person who does not have insurance. Under-Insured Motorist: Pays for collision expenses when an insured person is in a crash caused by another person who does not have enough liability insurance to cover the total amount of the damages. Other types of coverage, such as emergency road service, are also available. Your car insurance payments vary by company and will depend on multiple factors, including: *Your desired coverage *Your vehicle's make and model * Your driving record * Your age, gender and marital status * Where you live Many people think of car insurance as a necessary evil, but it can rescue your finances. Evaluate your needs, research your options, and with the guidance of your insurance agent, make the decision that fits you best. State Farm Clermont