Deconstructing Insurance: Understanding Auto Insurance

Deconstructing Insurance: Understanding Auto Insurance

Car protectionWhat is an Auto Insurance Policy anyway? Did you know that auto insurance is required by law?  The following are a few things that you should know when you are considering an auto insurance policy.

First of all, your policy will require information such as your name, address, make and model of your car, the identification number on your car as well as a policy number and policy duration. If anyone in your household uses your car as well, you’ll want to add their names to the policy. Otherwise, if they are in an accident while driving your car, you may not be covered by the policy.

What are Comp & Collision coverage? Your auto insurance policy will cover a number of things:

Collision coverage will help pay for damages as a result of a collision between your car and another car or object; even if the collision is your fault.  

Comp or comprehensive coverage covers damages to your car as a result of theft, fire, falling objects or vandalism.

The insurance policy should also cover liability. It is this component that makes auto insurance required by law. Liability insurance will help cover you in the event that an accident caused by your fault results in property damage, injuries or loss of life. 

If you have any questions about how much comp & collision you might require or for more information about NJ auto insurance, or to update your auto insurance today, be sure to visit us online at CCW Insurance.