Collision coverage is essential because it is the only way a driver is covered from damage to their vehicle. Without collision coverage on an auto insurance policy, the driver will have to pay for all of the damage to their vehicle out of their pocket. Collision coverage is also required in most situations where a car is financed or leased. Lana Insurance Center Inc. provides collision coverage in Wallingford, CT, and nearby towns.
Collision coverage and deductibles
As the name implies, collision coverage is part of an auto insurance policy that will assist a driver with paying for damage to the body of their vehicle due to an accident. Note that this is only for accident and theft, and other losses are covered under different sections of the policy.
Deductibles are one of the most critical parts of the collision coverage. This deductible is meant to represent the initial amount that the driver must pay before their insurance coverage will begin to pay for the rest of the damage. As a general rule, drivers can choose to pay a higher policy premium so that they will owe less of their own money in the event of an accident. An insurance provider will recommend a deductible that is right for the policyholder based on their financial needs. Some high-risk drivers may choose to pay upfront for a lower deductible, while others who drive less may want a higher one because accidents are less likely.
Learn more about your auto insurance policy and collision coverage
Additional questions about how collision coverage will work on your policy can be directed at agents from Lana Insurance Center Inc. We serve the Wallingford, CT area with various kinds of auto insurance policies that help all sorts of drivers.