What does Auto Insurance Cover?

Auto insurance is divided into several different types of coverage:

Liability covers damage to other people's property and injuries you may cause while operating an automobile.

Collision covers damage to your own vehicle in an accident.

Other-than-Collision covers fire damage to your vehicle, break-ins, vandalism or theft, as well as natural disasters (earthquake, hail, hurricane, flood, etc. - unless the vehicle is overturned, then it is considered a collision).

Medical payments insurance guarantees emergency and related medical payments, usually in the range of $5,000 to $10,000, for you, your passengers and other parties, regardless of who is at fault. It also covers you and members of your household in any accident involving an automobile, whether you are on foot, in a friend's car, riding a bicycle, etc.

Uninsured motorist (UM) and underinsured motorist (UIM) coverage protects you and your passengers if injured in an accident with drivers carrying insufficient liability coverage.

Extra coverages include expenses for towing, labor, temporary replacement vehicles, etc. These are generally defined as add-ons or endorsements to your policy.

Your agent can offer you more information on the limits and types of coverage that will best suit your situation.

Should I look into auto insurance before I buy my first car?

Yes.  Factors such as safety and frequency of theft of specific makes and models can play an important role in determining your insurance rate. Some cars are safer than others to drive and some are less apt to be stolen. Choosing one of these will help lower your insurance rate. Your insurance agent can help you estimate your insurance needs and premiums.

Association of Wyoming Insurance Agents
		P.O. Box 799 Sundance, WY 82729-0799 Voice: (307) 283-2052 Fax (775) 796-3122 Email: awia@vcn.com