Additional Coverage Options to Add-On to Your Insurance
Last Updated on April 16, 2021
Every state requires drivers to have a specific amount of basic car insurance protection. For example, New York state requires that all drivers have liability coverage for property damage, bodily injury, and death as a result of an accident. Liability coverage essentially pays the damages for the other party involved in the accident if the accident was your fault. However, many drivers choose to add even more coverage to their car insurance policy. There are several add-ons that car insurance companies offer to give their customers even more protection. Here are some of the most common add-ons to consider when shopping for your car insurance policy.
Uninsured Motorist Coverage
One of the best add-ons to any car insurance policy is uninsured motorist coverage. This coverage will pay for any expenses related to an accident if you are hit by someone who doesn’t have car insurance. These policies will also cover the difference if the other party doesn’t have enough insurance coverage. For example, New York state requires that drivers have $10,000 worth of property damage coverage. However, in a particularly serious accident, the cost of repairing the property damage may be significantly higher than that. Uninsured motorist protection will cover you when the other party doesn’t have the requisite coverage.
Personal Injury Protection Coverage
Personal injury protection will cover medical expenses for you and your passengers in the event of an accident, regardless of whether or not you were at fault. This coverage applies to any medical expenses, including surgery, hospital stays, ambulance rides, medication, and more. If you are unable to work because of your injury, some insurance companies will even allow you to use this coverage to replace lost wages. Personal injury protection, often abbreviated as PIP, is an excellent add-on for anyone, but it’s particularly helpful if you don’t have reliable health insurance. PIP coverage will prevent you from falling into medical debt as the result of a severe accident.
Collision insurance will pay for the repair or replacement of your vehicle if you are in a crash of any kind. This insurance covers damage in an accident with another car, regardless of whether or not it was your fault, as well as collisions with objects like trees, fences, and buildings. Collision insurance can give you peace of mind because you won’t have to worry about waiting for another party’s insurance to pay for your damages. It also covers damage as a result of single-person collisions, which generally wouldn’t be covered by liability insurance. Keep in mind that collision insurance only covers damage to your own vehicle, not to other vehicles or property.
Comprehensive insurance is one of the most common add-ons to a car insurance policy, and for a good reason. This type of insurance covers everything that isn’t covered by collision or liability insurance. For example, if your car is damaged as the result of a flood or hail, comprehensive insurance will pay for the repairs. Damage from falling objects and flying debris are also covered. Comprehensive insurance also covers damage as a result of theft or vandalism. If you live in an area where you need to park your car outside, comprehensive insurance coverage is a must. Not only are you more vulnerable to weather events, but parking your car in an unsecured area also means you are more susceptible to theft, vandalism, and other crimes. These types of damage can be quite costly, but investing in comprehensive insurance means you won’t have to pay for the damages out of pocket.
Roadside Assistance Coverage
Many insurance companies offer roadside assistance services as an add-on for their customers. It’s usually just a few extra dollars per month and will give you access to several helpful roadside assistance services. These services will typically pay for towing to a repair station, gas delivery, battery jump starts, and locksmith services. They will also usually cover the cost of mechanical labor on-site, as well as winching, which is pulling your car out of water, mud, or snow if it gets stuck. Roadside assistance coverage can be helpful for anyone, but it’s a particularly good idea if you frequently make long drives through rural areas.
Rental Reimbursement Coverage
This helpful add-on will cover the cost of a car rental should you need one while your insured vehicle is getting repaired. If you live in an area with reliable public transportation, you may not need this add-on. However, if you live in an area where public transit is sparse and you need a car for most activities in your daily life, this add-on will likely be worth the extra money.
If you drive for a rideshare service like Uber or Lyft, you are going to need more coverage than the average driver. Rideshare add-ons give you the extra coverage you need in the unlikely event you get into an accident with a passenger in the car. If you drive for a rideshare company, you should never skip the extra insurance coverage, as it could land you in hot water if you do get into an accident.
In New York, investing in additional coverage for your car is a particularly good idea. With the weather fluctuating throughout the year, you never know when you might experience damage as a result of a flood or other weather events. Many New Yorkers live in urban areas as well, which can increase your risk of theft and vandalism. By purchasing extra protection for your car, you’ll be able to relax knowing that you won’t experience a substantial financial loss if your vehicle is damaged. When shopping for car insurance coverage, be sure to get quotes from several different agencies. Comparing a range of different options will help you find the best value. Talk to your insurance agent to determine which add-ons are necessary for you and which ones you can skip. Although add-ons do make your monthly premium costs higher, they will save you money if you do get into an accident.