What is Collision Insurance?

While nearly every beginning driver understands that car insurance is legally mandated, the different types of insurance and specific terms can get confusing quickly. Not every type of insurance is required or even recommended in some cases.

To help you sort through the confusion, Collision 24 of Brockton, MA, explains collision insurance below.

What Does Collision Insurance Cover?

car-accident-callWhen people think of the car insurance they’re required to have, they’re thinking of liability insurance. Liability insurance covers accidents where the insured person is at fault.

Collision insurance, however, covers all types of collisions and accidents regardless of fault. This is usually an optional type of coverage, but it comes highly recommended for many reasons. After all, even if you’re the perfect driver, you can’t always avoid drunk or distracted drivers, faulty traffic lights, dangerous conditions, or vehicle malfunctions.

Because of this reality, many car leases require collision insurance in the terms and conditions. While some drivers may think optional insurance coverage is a luxury they can’t afford, the financial losses that stem from an accidents are far less affordable than wider coverage.

What Does Collision Coverage Insure?

Collision insurance has the primary goal of getting your vehicle replaced or repaired in the event of an accident involving an object or another vehicle. While accidents can damage a person and their property along with the vehicle, that’s the subject of other types of compensation or insurance.

Institutions that lend car loans tend to require a driver to purchase collision coverage so their assets are protected. Accidents can cause devastating losses, particularly financially. This risk is reduced when collision insurance is involved, as a driver will then only have to pay their set deductible and any surplus charges instead of all expenses involved in repair or replacement.

What Affects the Price of Collision Insurance?

car-accident-frustrationWhen calculating your monthly premiums and your set deductible in the event of an accident, insurance companies evaluate the risk you pose as a driver. The age of both you and your vehicle, your driving record, your car model, average distance, and driving conditions all affect how much you will pay. Even sex and marital status are a factor, as statistics show that these demographics influence how risky a driver is to insure.

Obviously, if you’re judged to be a higher risk to the insurance company you’ll pay more. New drivers or drivers who have been liable for previous accidents will pay more, but consistently good driving will reduce the price over time. Newer cars and models with recognized higher safety records tend to lower insurance rates. It’s important to consider these factors when searching for a car.

Collision 24 Accepts All Major Insurance

Residents of Brockton, Randolph, and Stoughton don’t need to worry about paying for their repairs at Collision 24. If you’re covered by a household name in insurance, Collision 24 will repair your vehicle and work with your company.

For more information, call 508-586-2010 or contact us online today.


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