The Pros and Cons of Comprehensive Auto Insurance
Before deciding whether or not you want to get comprehensive coverage for your vehicle, you need to see if it’s legally required. If you’re financing or leasing a vehicle, the lender will most likely require comprehensive coverage. However, if you find a cheap car and buy it with cash, you may consider going with a lesser insurance policy. Here are the pros and cons to consider.
Understanding Comprehensive Auto Insurance
One of the main determining factors in deciding whether to get comprehensive coverage or not is how much it would put you out if the car was totaled or stolen. If it would be easier to walk away from the car and find another cheap option, liability coverage may be enough. If you would want to replace the vehicle, and it would cost more than comprehensive coverage, you’ll want to go with full auto insurance coverage.
The Pros of Comprehensive Auto Insurance
Provides coverage for theft and vandalism
When you go out to the parking lot only to find that your car isn’t there — or worse, it’s there and it has been vandalized — it can really ruin your day. With comprehensive coverage, you would be covered. Without it, it would be up to you to cover the cost of a new car or repairs to your current one.
Covers damage from natural disasters and extreme weather conditions
It’s not just other people that can ruin cars. Natural disasters and extreme weather can also cause damage to your vehicle. Comprehensive car insurance can provide a safety net when this happens.
Offers additional protection against non-collision incidents
Damage caused by animals, falling objects, fire and more can be covered by comprehensive auto insurance but aren’t necessarily covered by liability insurance. Keep this in mind when deciding between the two.
The Cons of Comprehensive Auto Insurance
Higher premiums compared to basic insurance coverage
Comprehensive car insurance can be more costly than basic auto insurance, especially if you never end up filing a claim. However, it can be worthwhile if your vehicle is valuable to you. The reason the premiums are higher is because comprehensive coverage helps you with situations beyond car accidents.
May not be necessary for certain vehicles
If you drive an older, less valuable vehicle, comprehensive coverage may not be necessary. If you’re on a very tight budget, and paying for auto insurance is already a concern, basic coverage may be all you need.
Policy deductibles and limitations
Depending on the claim you’re making, you may need to pay a deductible before your auto insurance will cover you, even if you have comprehensive coverage. If the deductible on your car insurance isn’t affordable for you, getting comprehensive coverage may not be worth it.
Unless you’re financing or leasing a vehicle, whether you choose comprehensive or basic car insurance coverage is up to you. Using a website like Nsure, you can clearly see the benefits of each coverage option before making a decision. Find auto insurance coverage options from over 50 top-rated carriers in less than 5 minutes today, and be sure with Nsure.