What is covered by standard Automotive insurance?

The best way to describe terms is to use them within an example.  So, all of the below term definitions will be based on the following example:

“You are involved in a car accident, of which you are at fault.  This accident results in the injury of the other driver, as well as that driver’s two passengers, also in that car.  This same accident also causes damage to a guard rail next to the road.”

Let’s say you have coverage consisting of CA state minimum, which is 15/30/5.  This means that bodily injury coverage is 15/30 ($15,000/$30,000) and property damage coverage is 5 ($5,000).

Bodily Injury Liability

Bodily Injury Liability protects you from the medical expenses, as well as liability claims as a result of the injured driver and the 2 passengers.  The medical coverage includes ambulatory care, as well as hospitalization.  The liability covers your interest, including defense legal fees.  Both are up to the limit of your coverage.

This will provide $15,000 coverage per person, and $30,000 per accident.  If the cost of any one injured party exceeds $15,000, or if the total cost of the accident exceeds $30,000, you are responsible for the entire amount above that number. This includes legal fees should there be a case of litigation against you.

Property Damage

In the same example above, property damage coverage will pay for the repair or replacement of the other party’s automobile, as well as the guard rail for the city.  Again, this will pay for damages only up to the limit of your coverage or in this example, $5,000.

Collision Coverage

Collision pays for the repair or replacement of your vehicle.  This includes accidents with other cars, or most all moving or stationary objects, so long as you are moving.  The only exception that I am aware of is hitting a wild animal, such as a deer or likewise.

Comprehensive Coverage

Comprehensive covers all damage to your car that is not the result of a collision. Examples include theft, cracked windshield, a door ding in a parking lot, and of course, that wild deer (or similar) you hit while driving.

Uninsured / Underinsured Motorist

There are two types of Uninsured / Underinsured Motorist coverage, bodily injury and property.

Bodily injury: this covers bodily injury to yourself or your passengers as a result of an accident where the other car was at fault and does not have any insurance coverage (uninsured) or does not have enough insurance coverage (underinsured) to cover your expenses.

Property: this covers damages to your property (your car) as a result of an accident where the other car was at fault and does not have any insurance coverage (uninsured) or does not have enough insurance coverage (underinsured) to cover your expenses.

At Farmers, Uninsured / Underinsured Motorist Property Damage is covered by your collision coverage.

We hope the above detail has helped you understand and always feel free to contact us for more details.