car insurance in America

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In America car insurance is insures not the car, but the driver. In other words, if you have car insurance, and your wife doesn't if she makes an accident she (you) will have to pay for the damage. So the insurance coverage is related to persons. Basic auto insurance policies are made up of a combination of the six types of coverage: 1. Collision: Covers the physical damage done to your vehicle as the result of an accident. This covers your property in accidents in which you are at fault, like a single car accident or collision with a stationary object. 2.Comprehensive: This covers repairs or replacement of your vehicle from damage caused by "non collision events", such as damages resulting from fire, theft, vandalism, and most acts of God. 3.Liability - Bodily injury: This covers injury or death caused by a vehicle driven by you or someone covered as a driver under your policy. This coverage pays for both the claim against you and the cost of your legal defense. If you are found to be liable for a higher amount than the policy you bought, you will have to pay the difference. In such a litigious society, it seems sensible to purchase the highest level of coverage that you can get your hands on. 4.Liability - Property damage: This covers damage caused to another persons vehicle or property. This is not limited to damage done to anothers vehicle. If you drive through someones yard and demolish their garden shed, it would be covered by Property Damage Liability, up to the limit of your liability. 5.Medical payments or Personal Injury Protection (PIP): Covers you, the members of your household and your passengers for medical expenses resulting from an automobile accident, regardless of who is at fault. Usually limited to $5,000 - $10,000 in most policies. 6.Uninsured motorist: Bodily injury: Protects you and occupants of a covered vehicle in an accident in which the owner or operator of a motor vehicle who is legally liable does not have insurance. Property damage: This coverage pays you for damage to your covered vehicle in an accident in which the operator of a motor vehicle who is legally liable does not have insurance.