Auto Insurance

Cars, trucks, motorcycles and other vehicles are covered under auto insurance, which is also known as vehicle insurance, GAP insurance, car insurance or motor insurance. An auto insurance policy is a contract between you and the insurance company in which you agree to pay the premium and the insurance company agrees to pay your losses, as defined in your policy. The primary purpose of an auto insurance policy is to provide financial protection from physical damage, bodily injury and liability that result from traffic accidents. Financial protection against theft and damage to vehicles caused by events unrelated to traffic accidents can be covered by auto insurance.

There are six types of auto insurance coverage, including: property damage liability, bodily injury, comprehensive, collision, medical payments or personal injury protection, and underinsured motorist coverage. Auto insurance policies are commonly purchased for six or 12-month terms and companies typically provide monthly billing and notification when it is time to renew your auto insurance.
Property Damage Liability – When there is damage to someone else’s property caused by your vehicle, property damage liability insurance is essential. In addition to auto damage, property damage liability also covers damage to fences, guardrails, telephone poles, buildings and other things that may have been damaged in an accident.

Bodily Injury Liability
The injuries caused to someone else by the policyholder, or by other people included on the policy are covered by bodily injury liability. When you cause an injury, whether you are driving your own vehicle or another vehicle with permission, bodily injury applies. If a serious accident occurs, the other party can sue you for damages, so bodily injury liability coverage is critical, which is why it is required by most states.

If your car is stolen or damaged by something other than an auto accident, comprehensive coverage provides reimbursement for damages. Severe weather, vandalism and animals can cause damage to vehicles, which is often covered by comprehensive coverage. Repairs of windshield chips and cracks are often covered without a deductible, depending on your company. The deductible for comprehensive coverage can often be adjusted to lower monthly premiums.

If your vehicle is damaged, whether in a crash or by potholes, collision coverage will cover the cost of repairing your vehicle. As with other auto insurance coverages, the higher the deductible, the lower your premium. After an accident, collision coverage pays to have your car repaired, but you are responsible for the deductible. If you are not at fault, your insurance company will likely try to recover the cost of repairs from the driver at fault, or his insurance company. If they succeed, you will likely be reimbursed for your deductible.

Medical Payments
If injured in an accident, medical payments, or personal injury protection (PIP) covers medical costs for you and any passengers. Medical costs like rehabilitation and even lost wages and funeral costs are covered under some auto insurance policies.

Underinsured Motorist
Protection against accidents caused by uninsured or hit-and-run drivers is provided by uninsured or underinsured motorist coverage. If the driver does not have sufficient insurance coverage to pay for a total loss of your vehicle, UIM coverage protects you. As a pedestrian, UIM coverage also protects you if a vehicle hits you.

McGovern Insurance is an experienced insurance agency that can help you with an auto insurance policy tailored to your individual needs. Please complete the form on this page or call us at (650) 593-8216 to get your personalized auto insurance quote.