Understanding Insurance Coverage

Insurance terms can be confusing. Knowing your coverage details before a crash makes claim decisions much easier.

Start With The Declarations Page

Your declarations page usually lists:

• Policy number and coverage dates
• Drivers covered by the policy
• Coverage limits and deductibles
• Optional add-ons such as rental or towing

Core Liability Coverage

• Bodily Injury Liability: helps pay for injuries you cause to others
• Property Damage Liability: helps pay for damage to another person’s property

Commonly Required Coverage

• Personal Injury Protection (PIP): helps with medical expenses and some lost wages
• Uninsured/Underinsured Motorist: may help when the other driver has little or no coverage

Optional Coverage To Evaluate

• Collision: damage to your own vehicle from impact events
• Comprehensive: non-collision events such as theft, weather, or vandalism
• Glass: windshield and window-specific repairs
• Gap: difference between loan balance and vehicle value when totaled

Review limits and deductibles at least once a year so your policy still matches your situation.