If you’re a first-time driver in Honey Brook, or it’s your first time purchasing auto insurance, the process can be extremely confusing. The insurance industry is full of hard-to-understand lingo that can even leave experienced drivers shaking their heads. Relax; we’ve got you covered. Here’s a guide to some of the most commonly-used terminology you’ll encounter when purchasing Auto Insurance in Honey Brook and what it all means.
The collision portion of your Auto Insurance in Honey Brook covers you financially if you’re involved in an accident. It covers the physical damage done to the other driver’s vehicle, and if you have full coverage on your own car it will cover damage to that as well.
This part of your insurance covers damages that aren’t a result of an automobile accident. It may vary depending on the company, but it usually includes compensation for damage and stolen property from a break-in, or weather or fire-related damage.
This is the amount of money you’ll have to pay out-of-pocket after an accident before your Auto Insurance in Honey Brook starts to cover the costs. The higher you set your deductible, the lower your premium will be. The most common deductible amounts are $250 or $500, but you can opt for an even higher deductible if you have emergency funds set aside.
Personal Injury Protection
You’ll need this part of your Auto Insurance in Honey Brook to cover any medical expenses related to a no-fault accident. In most cases, this covers the passengers in your car as well. Sometimes, you may not need personal injury protection if your health insurance plan fully covers medical costs resulting from automobile accidents.
In Pennsylvania, you’ll need to opt for either limited or full tort coverage when you purchase auto insurance. What’s the difference? In the event of an accident, full tort policy holders are allowed by law to sue the other party for pain and suffering in addition to compensation for medical expenses. On the other hand, limited tort policy holders can only seek compensation for medical expenses–they give up their right to sue for other damages.
Automobile insurance terminology can be confusing, so make sure you understand the lingo before you buy a policy. If you have any questions, a good insurance agent should take the time to give you thorough answers.
Be the first to like.