Collision and Comprehensive coverages both pay for damage to your automobile. You can purchase either coverage or both for each vehicle you own. If you have an auto loan, you may be required to purchase both.

• Collision coverage insures you against damage to your vehicle caused during an accident.
• Comprehensive coverage insures you against anything other than collision damage, like physical damage by events like fire, theft, flood, and vandalism.

Collision and comprehensive coverage usually include a deductible, which can range from $100 to $1,000. If your car is damaged, the insurance company pays only for the damage exceeding the deductible you selected. The higher the deductible, the lower the premium.

This coverage pays for injuries you cause to other people, and damage you cause to other people’s property when you are at fault in an automobile accident.

This coverage pays medical expenses for you and your passengers if you’re injured in an automobile accident, regardless of fault. If you and your passengers have health insurance, you may not need this coverage. Just keep in mind, depending on the limits, this may not cover all your expenses.

This coverage, also known as No-Fault coverage, pays for things like medical and rehabilitative expenses, replacement services, and funeral expenses. It also pays for loss of income if you are injured in an automobile accident and are unable to work. Some states require this coverage, so check your state’s laws.

This coverage pays if you are injured by a person who is completely uninsured or doesn’t have enough liability insurance to cover your injuries. It also covers you if you are in an accident with a hit-and-run driver.

Optional coverage can include extras such as towing, rental reimbursement, and roadside assistance. None of these coverages are required, but they’re great to have in an emergency.