A few minutes into your car insurance quote your agent asks, “Do you want comp and collision, or just liability?”
You may wonder, “What is comp and collision? What does it cover? Do I need it?”
While often grouped together in the coverage discussion, collision and comprehensive coverage are very different and deserve a closer look.
What Is Collision Coverage?
Collision coverage pays for damage to your car caused by vehicle upset or collision.
After a long hard day at work, you approach your car in the parking structure. Glass is scattered on the ground, and your window is gone.
Of course, the clubs are gone, along with your CD collection, your MP3 player, jacket, portable GPS navigator, stereo and your airbag! While you are dialing the police, you realize that your stuff is gone for good.
Think about all the stuff you leave in your car every day: paperwork, emergency supplies, CDs, as well as many other items.
When you rent a car, the agent at the counter usually asks if you want to purchase the additional insurance that the rental company makes available to their customers. You already have car insurance, but are you completely covered when you rent a car?
According to the Insurance Information Institute, rental companies generally offer four types of coverage:
Knowing what your personal auto policy does and does not cover makes the decision at the car rental company easy.
When shopping for a used car, it is hard not to notice the bargains. You know, those cars that are just a little less expensive than the others. The car looks OK, drives OK, but something is a little fishy.
Then the other shoe drops–the car has a salvage title.
Repairs? You probably don’t want a car that has had repairs, you want one that has had no damage at all. Still, the car does look good and seems to drive OK, and boy, you are saving money!
So, just what is a salvage title and what does it mean to the purchaser of the car?