What is a comprehensive car insurance claim?
Comprehensive car insurance protects you financially if your vehicle is damaged as a result of circumstances other than a collision. Comprehensive coverage may include damage to your vehicle caused by hail, animals, glass breakage, and theft, among other things. This coverage may be an important part of your car insurance policy, and it may be required in some cases. It is critical to understand what this coverage entails, when to file a comprehensive car insurance claim, and the distinction between comprehensive and collision coverage.
Reasons to consider comprehensive coverage
If you cannot afford to repair or replace a damaged vehicle out of pocket, or if you want to keep your car loan lender happy, you should consider purchasing comprehensive and collision car insurance coverage. If you have a financed or leased vehicle, you will almost certainly require full coverage car insurance.
Full coverage, on the other hand, may not be worth the cost if your car is old or in need of repair and you own it outright. In such cases, the cost of comprehensive car insurance may outweigh the benefits. If you don't want to pay the premiums, don't need it, and can replace your vehicle comfortably out of pocket, you might be better off skipping full coverage. However, you can usually carry comprehensive coverage without collision coverage, so if you only want partial coverage for damage caused by events beyond your control, comprehensive coverage may still be beneficial.
Comprehensive car insurance protects your vehicle from damage caused by events other than a collision. In this case, "other than a collision" generally refers to events such as hail, animals, glass breakage, and theft. However, there may be times when filing a comprehensive car insurance claim is not required. Understanding what comprehensive coverage provides and when filing a claim may help you decide whether or not to add this option to your policy.
What is comprehensive coverage and what does it cover?
Comprehensive insurance covers the cost of repairing or replacing your vehicle if it is damaged in an incident other than a collision with another vehicle or object. A full coverage policy in auto insurance is one that includes both comprehensive and collision coverage, as well as state-required coverage.
Examples of common vehicle damage covered by comprehensive insurance include:
- Hail damage and other weather-related events
- Damage from hitting an animal
- Theft
- Riots and vandalism
- Glass breakage (windshield and windows)
- Fire
- Objects that fall, such as a tree limb
Your vehicle's normal wear and tear is not covered by comprehensive coverage. For example, if you need new tyres or brake pads, you would pay for them yourself or through another warranty programme. It also excludes vehicle damage caused by colliding with another vehicle or object. If another vehicle is involved, it is considered a collision.
When should I file a comprehensive claim?
Knowing when to file a comprehensive car insurance claim entails first determining how much your deductible - the amount you pay out of pocket - is. You will not be able to file a claim if the cost of repairing your vehicle is less than your deductible amount. If the repair costs are only marginally higher than your deductible, it may not be worth filing a claim and risking a premium increase when your auto insurance policy is renewed.
If you decide to file a claim, you must follow a few steps before submitting it to your insurer.
- Inform a customer service representative or your local agent of the situation via the mobile app, online, or phone call.
- Submit any documentation related to your claim, such as photos, videos, or papers.
- Your insurance company may request that you obtain estimates from local repair shops.
- Each state has different laws regarding the amount of time you have to file a claim, including for damage only, so ask the insurance adjuster about the timeline.
Reasons to consider purchasing comprehensive coverage
States, unlike liability insurance, do not require comprehensive coverage in order to drive legally. If you lease or finance your vehicle, however, the finance company or lessor will almost always require coverage. Other drivers who have the option to purchase comprehensive coverage may find it advantageous to have this coverage in order to limit your out-of-pocket expenses when there is damage in a covered claim.
Fortunately, when compared to other aspects of a car insurance policy, comprehensive coverage is typically inexpensive. According to the Insurance Information Institute (Triple-I), the cost averages $172 per year, which may be worth it to you for the additional financial protection it provides.