Car insurance policies are designed to help cover potential financial loss due to car related damages, total loss or injuries. Car insurance helps protect you, passengers, other drivers, pedestrians, property and your vehicle. Car insurance also helps protects you in the event of a lawsuit associated with an incident involving your car.
Do you find yourself overwhelmed by all of the auto insurance choices? Don’t be! Fulshear Insurance makes it easy to find the right auto insurance policy. Let us take the stress out shopping. We can find the plan that’s right for you with a rate that fits your budget. We will clearly explain your options, so you can make an informed decision on which plan works best for you.
We aren’t sure who coined the term “full coverage”, but when it comes to auto insurance, it’s your choice with which coverage to choose, and using the term “full coverage” isn’t defined. Some of the coverages are legally required while others are optional.
It’s important to know what the coverage means for you.
Bodily Injury Liability
This coverage is used to pay for injuries caused by the policyholder or other driver listed and covered by the policy.
Uninsured Motorist or Under Insured Motorist – Unfortunately, there are many accidents that happen where the other driver does not have insurance coverage, doesn’t have enough coverage (may only carry state minimums), or it could involve a hit-and-run driver. This coverage offers protection for these events without counting against your collision or comprehensive coverage.
Personal Injury Protection – is used for treatment of injuries to the driver or passengers of the policyholder’s car. PIP will do everything Medical Payments will do plus more. PIP can be used if you hit a pedestrian accidentally and they are not badly injured. PIP will pay for psychiatric care, rehabilitative care and lost wages, whereas Med Pay does not cover these costs.
Medical Payments (Med Pay)
In Texas, if you carry PIP, you would not carry Medical Payments coverage and vice versa. If you carry coverage for Medical Payments on your auto policy, you and your family members are entitled to reimbursement of medical costs resulting from auto accidents. It doesn’t matter if you are in your car or someone else’s car, or if you are injured by a car while bicycling or walking, regardless of who is at fault.
The limit for Medical Payments is usually fairly low and intended to cover immediate medical, surgical and funeral expenses as a result of an accident. Med Pay also will not apply to a person injured during their employment when worker’s compensation should apply, and it is not meant to replace health insurance.
Some carriers contract with a special roadside assistance company who have the resources to dispatch someone to assist you in the event of a dead battery, flat tire, requiring gas, oil or water delivery, needing a tow, and lockout assistance 24 hours a day, 7 days a week.
Other carriers offer reimbursement, up to a specified amount, for when a driver breaks down on the side of the road. You can choose who to call and negotiate what you pay. Be careful of unsolicited tow trucks who show up while you are stranded. It is best to contact a reputable company and wait for their arrival.
Before your vehicle leaves with a tow truck, make sure you have a copy of an invoice with all towing fees, daily storage fees, and any other charges so there are no surprises. Always make sure you obtain in writing the destination of where your vehicle will be towed.
Roadside Assistance is an optional coverage. One should never assume they have this coverage.
This is sometimes referred to as Rental Car Reimbursement, and it helps with the cost of a rental vehicle while your car is out of commission due to a covered loss on your insurance policy. This may include theft of your auto, vandalism, or damage from an accident. This is an optional coverage with different allowances from which to choose, including $20/day, $30/day, $35/day up to $50 or $75/day. If you drive a truck, SUV or luxury car, you may elect a higher allowance than someone who drives a Honda Accord. Your level of coverage determines the size of vehicle you will receive when you arrive at the rental car company. It’s important to choose the right level of coverage for this option before you need it!
In some instances, you are required to pay a deductible for a claim before any monies are paid out by the insurance company. There are two categories of deductibles and if you have a lien on your vehicle, this coverage may be mandatory.
Comprehensive “Comp” Deductible
If you vehicle is damaged other than in an accident such as a rock shattering the windshield or your car being damaged from vandalism or flooding, the Comprehensive coverage pays for the repairs. The deductible is the amount you pay before the insurance company pays. Let’s say it costs $2,200 to repair your vehicle after it was vandalized. If you have a $1,000 deductible, you are required to pay the first $1,000 for repairs. Anything over the first $1,000 would be paid by the insurance company. Always keep in mind, the lower the deductible, the higher the premium.
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