Auto insurance means protection against losses due to accidents. There are different types of insurance for your automobile. By buying an insurance for your car, you ll' be protected from :
  • The repairing cost incurred due to accidents.
  •  If the vehicle is stolen or damaged fully and is not in a position to be repaired, then the cost of the new vehicle is paid by the insurance company.
  • Claims against the vehicle's owner due to accident causing damage to a third party
Comprehensive insurance policy covers all the above-mentioned points, while liability insurance covers only the last point.

There are 6 auto insurance coverage types:

Bodily injury liability insurance: In this the third party is protected if any untoward incident occurs.
Personal injury protection insurance: While driving, if a person or any other person in the vehicle gets injured that person gets medical treatment.
Property damage liability: In this the property of the other person is insured if there is damage.
Collision insurance: The vehicle is protected against damages if there is an accident. The amount for repairs is paid.

Comprehensive insurance: If your vehicle meets with an accident then it is not covered in this plan, but theft, natural calamities, fire and other causes are covered.
Uninsured motorist insurance: If an uninsured motorist collides with the vehicle or if it is a case of hit and run then it is covered in this insurance.

For insuring your auto you have to pay a premium which could be high or low, as it depends on many factors like insured amount, vehicle condition etc. If you have a new vehicle then the amount of insurance premium payable would be high compared to an old vehicle.  While buying insurance you should try to get two to three quotes and then buy the best one.
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