Comprehensive insurance allows auto owners to repair their vehicles when damaged from weather or natural damage and vandalism. Comprehensive insurance is one of the most used aspects of an auto policy. There are three major benefits that come from having comprehensive insurance.
- Major Peril Benefits: When it comes time to file a claim. Theft, fire damage, storm damage, and many others are covered by this coverage.
- Glass and Rental Car Benefits: Some people do not realize that some comprehensive coverage will cover a rental car. This benefit gives a driver a rental car just in case theirs is being fixed. Sometimes if you get a rental car for vacation or a trip, Your insurance covers this rental too. Always check with your agent to make sure you insurance covers a rental car in the event it is damaged. Some people are also amazed to find out that even though glass coverage is not listed on their policy it still is covered under comprehensive coverage.
- Loan Benefit: Most lenders want some kind of physical damage coverage to be on the vehicle. Comprehensive coverage satisfies this requirement making it possible to get the loan.
- Benefit of Peace of Mind: The newer the car the more concern there is from the owner about damage. Comprehensive insurance gives peace of mind that there is an option to have the vehicle fixed should the need arise from a defined peril in the coverage definitions.
You want to understand just exactly what your Texas home and auto insurance covers, but you also know that the policies will be written in fairly technical and legal language. What you can do is take the brief description page you were given for each policy and use it as a guide to find the most important parts of the policy.
Which parts are most important will depend on which insurance policy you are examining. If it’s your home insurance, you want to look for the following:
- Exactly what is covered. Does your homeowners policy include unattached buildings or structures such as garages, barns, tool sheds, or similar structures? Some do; some don’t, and knowing this will help you determine if you need to consider getting a “rider” (additional coverage) for those things.
- The coverage amounts. Again, this varies from policy to policy, but generally you are covered for the replacement value of your home should it be completely destroyed, as well as certain amounts for damage repairs or replacements.
- If medical coverage is included, and the amounts of that. For some Texas residents, choosing medical coverage on home insurance policies is an option.
- The amount of your deductible.
If you are examining your auto insurance policy, you want to examine these parts:
- Liability: the amounts that will be paid for repairs to other vehicles involved, and the deductible amount.
- Comprehensive and Collision: the amounts that will be paid for repairs on your vehicle. Comprehensive can also cover damage to your car that occurred for reasons other than an accident.