What Are The Different Types Of Auto Insurance?

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If you are new to driving in Florida or are looking to update or expand your policy, you may find yourself wondering what the different types of policies are, and what they mean for you. If you are trying to figure out which policies you need or trying to cut corners to save some money, make sure you take a look at this list and think twice. In many cases, you can hire a car accident attorney in Fort Lauderdale to help you recover damages if someone else caused the accident, but in other unfortunate cases, you might be on your own because of an uninsured or underinsured driver unless you have the right policy to protect yourself.

Personal Injury Protection

PIP is a no-fault policy that covers you and your family members up to $10,000. It includes coverage for lost wages as well as your medical bills, and is mandatory in Florida. This policy can come in handy if you are in an accident with an uninsured or underinsured motorist, and collecting on it does not impact your ability to file a personal injury lawsuit.

Property Damage Liability

This type of insurance covers damage that you cause to other’s personal property. It covers things like damage to other cars, or any other type of property that you may damage in an accident you cause. This insurance is not used in an accident that someone else caused, because their PD insurance will cover your damages. PD is also required by Florida law.

Bodily Injury Liability

BI Liability is not required in Florida, but it can be incredibly helpful if you ever need it. It covers other people that you injure and can protect you from being personally liable in the event of a personal injury lawsuit. In the event that you do injure someone else, they will need to deal directly with your insurance company to negotiate their claim amount, or will choose to file a lawsuit.

Uninsured Motorist

UM coverage is not required in Florida, but is another very important and helpful policy if you are ever in a situation that you need it. It covers any of your personal injuries if you are involved in an accident with a driver who does not have bodily injury liability for you to collect on. If you do not have this policy, and they do not have BI, then you could be stuck paying a significant portion of your medical expenses yourself.

Collision Coverage

This type of policy helps you with repair or replacement costs if your car is damaged or totaled when you are in an accident. While not required in Florida, it’s probably a good idea unless you want to be paying your repairs or replacement out of pocket.

Comprehensive Coverage

Comprehensive coverage is for everything else – any sort of damage to your car that is not from an accident. This is a good idea if you want coverage for floods, theft, fires, vengeful exes, or any other type of damage you could imagine.

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