Understanding the Difference Between Comprehensive and Collision Coverage

Find Out the Cost of Adding Full Coverage to Your Policy

Did you know that all full coverage insurance means, is that you are adding comprehensive and collision coverage to your liability coverage? Unclear what comprehensive and collision even is? We have your answers!

Comprehensive and Collision Coverage: What Is the Difference?

A Plus Insurance is Your Guide!

Did you know that all full coverage insurance means, is that you are adding comprehensive and collision coverage to your liability coverage? Unclear what the difference between comprehensive and collision even is? We have your answers!

Your Quick Guide ⬇

Comprehensive Vs. Collision: In a Nutshell

Collision Coverage

Comprehensive Coverage

Why Do I need Comprehensive and Collision Coverage

Frequently Asked Questions about the difference between Comprehensive & Collision Coverage

comprehensive vs collision

Comprehensive Vs. Collision Vehicle Insurance: What it is NOT

If you recently financed a vehicle, your lienholder may have required you to have full coverage insurance.

While many people assume full coverage is an all encompassing auto insurance policy with all the coverages, that assumption is incorrect.

Full coverage insurance simply means you are adding comprehensive and collision coverage, the two kinds of coverages that cover Physical Damage to your own vehicle. You must also carry whatever your state requires.

difference between comprehensive and collision

What’s the difference between Comprehensive and collision insurance vs. full coverage?

Comprehensive and collision insurance, when combined with liability coverage, are often referred to as “full coverage,” but it’s essential to understand the distinction between the terms.

Full Coverage is often used to describe the combination of both comprehensive and collision insurance.

  • When someone says they have “full coverage,” it typically means they have comprehensive and collision coverage in addition to liability coverage (which covers damages to others’ vehicles/property).
  • Full coverage provides more extensive protection for your vehicle, as it covers both collision and non-collision incidents.

It’s important to note that “full coverage” can vary between insurance providers and may not cover every possible scenario. Always review your policy’s terms and conditions to understand what specific protections are included in your coverage.

The Main Difference Comprehensive and Collision On Car Insurance:

Comprehensive insurance covers non-collision damage to your vehicle, like theft or weather-related issues. On the other hand, collision insurance protects against damages caused by accidents. Choosing comprehensive and collision coverage is a wise decision for most drivers.

Collision Insurance Coverage

comprehensive

This auto insurance coverage pays for the damage caused to your car when you “collide” or have an accident with another vehicle, an object, a pothole, etc.

You must set a deductible when you add this to your policy. This means you must pay out of your own pocket the amount you set on your policy, before the insurance company pays for the rest of the damage.

Comprehensive Insurance Coverage

collision coverage

Also known as “other than collision,” this type of coverage will compensate you when your vehicle sustains damage that wasn’t caused by a typical collision accident. This might include things like theft, windstorms, floods, hail and hitting animals.

You must also set a deductible for comprehensive coverage. The lower your deductible, the higher your auto insurance rates will be.

Can I have Comprehensive Only On My Car Insurance Policy?

In certain situations, insurance companies may allow individuals to have comprehensive-only coverage (also known as garaging insurance) when the risk of collisions is minimal or when it aligns with the driver’s specific needs and circumstances.

Instances where a car insurance company might allow someone to have comprehensive-only auto insurance include:

  1. Older Vehicles: For older cars with lower market value, comprehensive coverage alone may be more cost-effective than full coverage.
  2. Low-Value Cars: When determining your insurance needs, consider the value of your car and your budget. If your car is older or has a lower value, comprehensive-only insurance is an option. However, if your vehicle is newer or valuable, comprehensive and collision coverage is recommended.
  3. No-Fault States: In states with no-fault insurance laws, medical expenses are typically covered separately, reducing the need for collision coverage.
  4. Uninsured Vehicles: If a vehicle is not actively driven or is in storage, comprehensive coverage may protect against theft, vandalism, or natural disasters.
  5. Personal Preference: Some drivers might opt for comprehensive-only insurance if they are comfortable covering potential collision damages out-of-pocket.
  6. Financial Constraints: When facing budgetary constraints, drivers might choose comprehensive coverage as a more affordable option.

Make sure to ask the specific auto insurance carrier about their policies and if comprehensive only is allowed in your situation. It’s essential to carefully assess individual circumstances and the vehicle’s value before opting for comprehensive-only insurance, as it leaves the policyholder exposed to financial risks in collision-related incidents.

Comprehensive Vs. Collision Deductibles

comprehensive and collision deductibles

Comprehensive Deductible: The amount you would be responsible for paying before the comprehensive coverage kicks in, in the event of damage caused by incidents other than collisions (e.g., theft, vandalism, weather-related damage).

Collision Deductible: The amount you would be responsible for paying before the collision coverage takes effect, in the event of damage caused by a collision with another vehicle or object.

In this example, the deductible options vary from $250 to $1,500 for comprehensive coverage and from $500 to $2,000 for collision coverage. Keep in mind that choosing a lower deductible typically means higher premium payments, while opting for a higher deductible can result in lower premiums. The right deductible option for you will depend on your individual circumstances, risk tolerance, and budget.

Difference between Comprehensive and Collision and Liability

Coverage TypeCoverage for Your VehicleCoverage for Others’ Vehicles/Property
Comprehensive & CollisionYesNo
Liability OnlyNoYes
what’s the difference between comprehensive and collision and liability?

Car insurance provides protection against various types of damage. Liability insurance only covers damages you cause to others. Comprehensive coverage handles incidents such as theft, vandalism, and natural disasters. Meanwhile, collision insurance addresses damages resulting from accidents with other vehicles or objects. Liability only offers no coverage for your vehicle.

Why Do I need Comprehensive and Collision Coverage On My Insurance Policy

Comprehensive and collision is not typically required by law, however, if you are financing a vehicle, your lienholder might require you to have it.

Also, if you have a newer or expensive vehicle, this offers protection and will cover repairs or the cost of replacing vehicle parts.

It’s also good to know that while their are some exceptions, many insurance companies will not allow you to add comprehensive without collision, and vice-versa.

best auto rates

Comprehensive and Collision Cost: Average Full Coverage Rates

The average cost of a full coverage auto insurance policy can vary widely depending on several factors.

Auto Insurance CompanyAvg. Monthly Rate in Colorado
National General$129
State Farm$147
Farmers$149
Nationwide$150
Progressive Insurance$156
The General$156
Travelers$164
Allstate$165
Bristol West$165
USAA$166
Acceptance RTR$167
Liberty Mutual$167
American Family$168
AssuranceAmerica$170
These are sample rates from Colorado policies for good drivers

Insurers consider numerous variables when calculating premiums to determine the level of risk associated with each driver and their vehicle.

  • Some of the main factors influencing the cost of a policy include the driver’s age, driving record, and credit history.
  • Younger and less experienced drivers may face higher premiums due to perceived higher risk.
  • Additionally, a history of accidents or traffic violations can increase rates.
  • The type of vehicle, its make, model, and age also play a significant role; luxury and sports cars usually carry higher premiums.
  • Moreover, the location where the car is primarily driven and stored affects costs, as urban areas or regions with higher accident rates may lead to more expensive coverage.
  • Lastly, the level of coverage and deductibles chosen, as well as optional add-ons, can impact the overall cost of a full coverage policy.

It’s essential for drivers to compare quotes from various insurers to find the most suitable and affordable coverage for their individual needs.

Frequently Asked Questions about the difference between Comprehensive & Collision Coverage on an Insurance Policy

What is the main difference between comprehensive and collision coverage?

Comprehensive insurance auto coverage protects against damage to your vehicle caused by non-collision events such as theft, fire, or natural disasters. Collision coverage, on the other hand, provides protection for your vehicle when damage occurs from a collision, whether it’s with another vehicle or an object like a fence or a pole.

When should I choose comprehensive coverage over collision?

You should consider comprehensive vehicle insurance if you live in an area with a high rate of vehicle theft or where severe weather is common. It’s also valuable if you frequently park outdoors where your car is exposed to potential harm from animals, vandalism, or falling objects.

How can I get a personalized insurance quote for my needs?

To receive a personalized insurance quote tailored to your specific requirements, you are encouraged to call us at 1.888.445.2793. Our team can provide guidance, compare insurance rates from multiple carriers, and help you make an informed decision for your auto insurance needs.

Is it better to have a $500 deductible or $1000?

Choosing between a $500 deductible and a $1000 deductible depends on your personal financial situation and risk tolerance. A lower deductible of $500 means you’ll pay less out of pocket in the event of a claim, but your insurance premiums will be higher. Conversely, a $1000 deductible reduces your monthly premiums but requires more out-of-pocket expenses during a claim. It’s important to assess your ability to cover the deductible in case of an accident and choose a balance that aligns with your budget and peace of mind.
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Last Updated on by Marlon Moss

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