What is Collision insurance coverage?

If Collision coverage is selected it covers your vehicle in the event of an at-fault accident. This would include if your car was to roll over as well as if it hits another vehicle or object. If your vehicle is financed the lender will make you carry Collision coverage. After selecting Collision coverage you will then have to choose a deductible. The deductible is what you will be responsible for in the event a Collision claim occurs. Most deductibles will range from $100-$1000 (higher options are available). However, if a car is financed most lenders require a $1000 or less deductible. You choose the deductible that best fits your needs.

For example: Driver 1 has Collision coverage with a $500 deductible. Driver 1 rear-ends another vehicle making him at-fault. Since Driver 1 was at-fault his insurance will be responsible for the other party’s injuries as well as any damage sustained to the vehicle. That will be paid under the bodily injury/property damage portion of Driver 1’s policy (no deductible for bodily injury/property damage). Since Collision coverage was selected for Driver 1’s policy the listed vehicle that was damaged will be covered less the $500 deductible. If Collision coverage is not selected there would be no coverage to fix the damage to Driver 1’s vehicle.

(Driver 1 has $2,000 in damages - $500 deductible = $1,500 payout for Driver 1’s vehicle to be fixed)

If you are unsure on what deductible you should select or if you should even carry Collision coverage on your policy we are here to help guide you through those decisions. Our experience and attention to detail allows us to properly insure each part of your life accordingly. Give us a call today to receive multiple quotes from top rated providers. 423-472-1744 or info@hoopins.com