Physical Damage Insurance – What Does It Actually Cover?

There are many times when vehicles sustain a damage where no one could have known that it might happen. This is one of the main reasons why you have to protect yourself and your vehicle. Getting a physical damage coverage is the most effective way to do this. However, there are many people wondering what does this physical damage insurance actually cover. In this article we are going to tell you everything you need to know. Two things are included in the physical damage insurance. The first one is the collision coverage and the second one is comprehensive coverage. There is a difference between these to, so let us take a look at the facts.

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Collision insurance actually covers all the damage that had happened to your vehicle after it had been involved in an accident, whether collisions with other vehicles or rollovers. The second type of coverage, the comprehensive one, pays for the incidents such as theft of your vehicle, fire and earthquake and even vandalism. The difference as you can see is in the type of accident of your vehicle. Again, this is all included in the physical damage insurance, so you don`t have to worry about anything.

Also, there are some common mistakes people make. First of all, the physical damage insurance is not required. It is completely optional but to be on the safe side, it is highly recommended people to have. However, in the case of leasing a vehicle the things are somewhat different. There are some lenders who require from you to have this type of insurance, mainly because they want full coverage of their vehicle. There are other factors that are important here too.

In a situation where the value of your vehicle has reached a very low level, it is simply not beneficial to have a physical damage insurance. Also, owning vehicles such as trucks i.e., vehicles that are heavy can be extremely beneficial because you can get the CAC (Combined Additional Coverage). Moreover, a common misconception is that this type of insurance includes your windshield. No, the CAC coverage does not include any claims to windshield damage, so you simply have to pay it on your own.

Finally, let us take a look at the things that are not covered by the physical damage insurance. First and foremost, any medical expenses to you or the passengers are not covered. The possessions stolen from your vehicle too, any legal fees arising from the accident and damage to other vehicles involved in the accident are not covered. So, make sure to be careful next time you are out there on the road!

To sum up, physical damage insurance is something every driver is advised to have. It is in your own interest to pay the cash for this type of insurance but you are going to be certain that every type of damage is going to be covered. So, if you do not have such an insurance, what are you waiting for? Go get it!