Purchasing a Calgary Car Insurance policy is a tricky decision. You need to first understand why you must buy a car insurance policy and what they cover. The decision on what you must get covered by the policy you buy depends on what is mandated by the state and what are your typical situations. Learn here about the five important aspects that can be generally covered by most car insurance policies. This will let you know what to expect from your policy.
Liability Insurance cover
Liability cover takes effect when you have caused an accident or considered to have caused the accident and therefore is liable to compensate the losses due to the accident. For instance, if you have made the accident leading to the damage to property of the third party, death or injury of the third party, then the said cover shall come to compensate the repair or medical bills incurred by the third party. In most states, there is a minimum liability limit set for the liability cover. However, if you can afford a higher cover, it is advised you go for it so that you are at a lesser risk during grave situations.
The collision coverage pays for the repairs to your own car during an accident. In case the value of the repairs exceeds the value of the car, then the coverage will pay for the value of your car. For older cars, it is not at all advisable to go for collision cover. In case of a new vehicle or an expensive vehicle, you can at least get back to the position where you were before the damage had occurred.
While liability cover and collision covers can cover different situations as stated above, they do not cover the damage due to weather conditions or if your car is stolen or if you have hit a deer. Such unusual events are covered by comprehensive covers. Installing anti-theft devices in your car can help lower the premiums of this cover. Since this type of cover is expensive, this might not be needed if your car is easily replaceable.
Personal Injury cover
It is highly advised that you always purchase a personal injury protection cover. In this cover, the medical bills of treating your injuries and also those of the passengers shall be paid. This takes effect if you have purchased this cover irrespective of who has caused the accident. However, know that this cover is not available in many states.
Uninsured or underinsured Motorist Protection cover
Purchasing an insurance policy for the drivers is mandated by all the states. However, in some states, the low minimum cover requirement might not be enough to pay for all the expenses involved in an accident. Therefore the uninsured or underinsured cover takes effect if you do not receive a cover or receive a coverage that is inadequate. This cover is highly valuable from the point of view of the amount of protection it assured the policy buyers.
Given the different covers available on the policies, you can decide which covers will suit you the best and thus can take an informed decision to customize the policy to address your typical situation.