Your car is a substantial investment, and an accident can be a costly experience. To protect your investment—and your assets—you need auto insurance for four important and valuable reasons:
- It’s required by law!
- It helps you pay for repairs or replacement of your vehicle if you're involved in an accident.
- It helps protect you from legal liability for injuries and damages you could cause to other people and their property.
- It helps cover damages caused by other drivers who may not be as responsible as you.
How to Determine Your Coverage Needs
While individual needs vary, there are common factors that will help you decide the type and amount of insurance you need. Since vehicle damage can be costly to repair, you'll want collision and comprehensive coverage. These coverage types will help you repair or replace your vehicle if it's damaged. (In fact, this coverage may be required if your vehicle is financed or leased.) And since you will be legally accountable when you're behind the wheel, liability coverage will help in case of accident.
Also consider if you need optional coverage:
- Medical Payments – Medical expenses can add up fast, and could exceed the liability coverage you already have. Medical Payments coverage can help so that excess doesn't become a financial burden.
- Underinsured Motorist Coverage – If someone causes damage to you or your property and doesn't have enough coverage to pay for it, this could come in handy.
- Rental Reimbursement – Need to rent a ride while yours is being fixed due to an accident? You'll be glad you decided to purchase this coverage.
- Auto Loan/Lease Coverage – Nobody wants to think about their new car being in an accident, but if it is, and you owe more on it than what it's worth, this coverage can help make up the difference.
If you have questions about any of these coverages, contact an agent who sells AmShield Insurance® and request a free insurance review. That way you can discuss all of the factors of your particular situation, and decide what coverage is most appropriate for your needs.