When you register your vehicle in California, you must carry auto insurance to protect you and your vehicle in the event of a collision. However, before you simply sign up for the cheapest policy you can find, it may be in your best interests to increase your coverage amounts and opt for additional coverage.
The costs of a car accident are high, and it could be months or even years before you obtain the compensation you deserve. With the right amount of insurance, you could obtain a settlement that can get you through until you can hold the appropriate party accountable in your civil claim.
Below, we go into further detail about some of the options you should consider adding to your auto insurance policy before you head out on the California roads.
Collision coverage may already be required as part of your auto insurance policy if you are financing or leasing your vehicle. However, even if you are not already obligated to carry collision coverage, you may want to consider doing so as this coverage will pay the cost of physical damage to your vehicle in the event of a car crash.
Comprehensive coverage is similar to collision in terms of the financing and leasing requirement, but it differs in that it will only provide coverage for property damage that occurs through something other than a collision. This will typically apply to items falling on the car such as a tree limb, or if your vehicle was stolen, for example.
Having rental car coverage is not required under California, nor is it required in most other states. But when you add rental car coverage for usually just a couple of extra dollars per month, if you are ever involved in a collision, the insurance company will provide you with a rental car, free of charge, until your vehicle has been repaired or replaced.
The costs of towing and labor can be astronomical. If you want to avoid those out-of-pocket costs, add towing and labor coverage to your auto insurance policy, or start saving so you can cover these costs in the event of a car accident.
If you finance, you need gap insurance. Although not a requirement, adding gap insurance will ensure that you aren’t stuck with the outstanding balance of your auto loan if your vehicle is totaled. Remember, the insurance company typically only pays out on the value of a car when it is totaled, not what you owe. Protect yourself and add gap insurance to your auto insurance policy.
Carrying additional coverage on your auto insurance policy may be a pain from the start, but if you are seriously injured in a car crash, a qualified Orange County car accident lawyer may be able to help you fight for the money you need to recuperate without having to overcome a mountain of debt in addition to your injuries.
Reach out to the respected attorneys at Dickson Kohan & Bablove LLP when you are ready to schedule a free claim evaluation. You can reach us through the contact form we have included on our website or by phone at 1-844-404-2400.
