Comprehensive coverage is one of the most popular types of auto insurance coverage. While comprehensive coverage may be optional, many people still choose to include this form of coverage on their policies. Comprehensive coverage, also known as other-than-collision (OTC) coverage, covers your vehicle in pretty much all cases that don’t involve accidents with other vehicles. We’ll talk more about the instances in which comprehensive coverage might be needed below.
The word ‘comprehensive’ is an adjective meaning “complete”, or “including all aspects or elements of something.” When it comes to auto insurance, however, this is not the case. Comprehensive, when talking about car insurance coverage, does not mean “full coverage” insurance as its name suggests. Keep in mind that comprehensive coverage does not provide protection from scenarios involving collisions. Comprehensive coverage cannot be substituted for collision coverage, which is required in almost all 50 states.
Why Get Comprehensive Coverage
Comprehensive coverage is not for everybody. Those that choose to get this type of coverage usually do so for newer, more expensive, vehicles. For many people, comprehensive coverage is well worth the higher premiums. For others, comprehensive coverage might just be an unneeded expense.
Comprehensive coverage can protect you in a wide variety of unfortunate scenarios. Many people think that comprehensive coverage covers everything that your basic auto insurance policy does not cover. This, however, is just a myth. While comprehensive coverage will cover a variety of different scenarios. It does not cover everything.
What Comprehensive Coverage Does NOT cover:
- Collision with an object (typically, collision coverage covers this)
- Collision with another car (collision coverage and/or liability coverage covers this)
- Towing and labor costs (roadside assistance coverage will cover this)
- Other types of roadside assistance like tire changing, gas delivery, battery jump-start, etc. (roadside assistance coverage will cover this, as well)
- Medical and legal expenses (medical payments coverage, personal injury coverage, or your own health insurance coverage will cover this)
- Stolen property from inside a vehicle (renter’s or homeowner’s insurance might cover this)
- Rental car to drive while your car is being repaired (rental car reimbursement coverage will cover this).
Comprehensive auto insurance CAN protect you in these instances:
- If your car is stolen
- If your car is damaged by flood
- If your car is damaged by fire
- If your car is damaged by falling objects
- If you have glass damage or windshield damage
- If your car is damaged by rock slides and/or mudslides
- If your car is damaged by animals (if you hit an animal or an animal damages your parked car)
- If your car is vandalized
- If your car is damaged by various other natural disasters
As you can see, the large umbrella of protection insurance companies provide is quite desirable, especially if you invested a lot of money into your vehicle. Those living in areas prone to these unpredictable events may find comprehensive coverage rather useful.
Make sure you read the terms of your policy closely to be 100% sure when you’re covered in certain scenarios. Remember that no two insurance policies are the same (and you should be reading it thoroughly anyhow).
Not sure if comprehensive coverage is for you? This is what insurers typically recommend:
- Leased Vehicles – Comprehensive auto insurance is typically required for leased or financed vehicles by the financiers.
- Newer Vehicles – If you’ve spent a lot of money on a new car, or even on a higher end used vehicle, comprehensive coverage may be worth getting to protect your purchase.
- Older Vehicles – Most older cars aren’t worth covering with this extra layer of protection. From a financial perspective, it may not be worth it (but for some protecting an older car is well worth it). Those with collector cars should find coverage with a company that specializes in this demographic.
Shopping For Comprehensive Coverage
At 4AutoInsuranceQuote, we’ve made your search for comprehensive coverage as effortless as possible. To begin, all you have to do is enter your zip code at the top of the page. By doing so, you will get quotes for full auto coverage policies from multiple companies.
Once you’ve inputted your information on our brief questionnaire, we will connect you with the companies that best fit your needs, at the best price we can find.
Remember to choose your deductible wisely. The higher the deductible, the lower the premium. (But we still suggest you set your deductible at an amount you can always afford.)
(Rule of thumb – Set some standards for yourself before looking at offers from various companies – and stick to them! Once you start looking at prices, you may be tempted to over-insure or under-insure your vehicles.)