This page is not a policy, it is only intended to serve as a guide. Please refer to your insurance policy for coverage details. Some of the parts below might not be part of your policy. While policies differ from insurer to insurer, the basics of the policy are usually the same and broken into Parts A through F.
Part A — Liability Coverage-IN TEXAS REQUIRED MINIMUM 30/60/25 SATISFIES TEXAS LAW.
Part B — Medical Payments Coverage/Personal Insurance Protection (PIP)-IN TEXAS IT IS REQUIRED TO BE OFFERED-CAN BE REJECTED IN WRITING. IF YOU CAN AFFORD IT HIGHLY RECOMMENED!
Part C — Uninsured Motorist Coverage-IN TEXAS IT IS REQUIRED TO BE OFFERED-CAN BE REJECTED IN WRITING. IF YOU CAN AFFORD IT HIGHLY RECOMMENED!
Part D — Coverage for Damage to Your Auto-COMPREHENSIVE AND COLLISION COVERAGES(COMP/COLL)-REQUIRED BY YOUR LENDER OR LEINHOLER
Part E — Duties After an Accident or Loss
Part F — General Provisions
DIVE DEEPER
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Part A — Liability Coverage
Most states require that drivers purchase and maintain minimum levels of liability insurance. This is the amount that your insurer will pay to cover damage you cause others. This is usually presented as numbers separated by slashes, for example Texas minimum is, 30/60/25. This says that the minimum coverage you must carry in Texas must cover up to $30,000 for bodily injury to one person in an accident you are found liable, up to $60,000 total for bodily injury to all persons in an accident you are found liable, and $25,000 in property damage in an accident you are found liable. Given these minimum amounts vary state by state, your auto coverage automatically “bumps up” to the minimum level of the state you are driving in so long as you carry the minimum coverage in your home state.
Part B — Medical Payments Coverage/Personal Insurance Protection (PIP)
Medical Payment: While liability coverage pays to parties other than the insured, medical payments will cover bodily injury to you and passengers in your vehicle when you are involved in an accident. The policy limits will list the maximum amount your insurance will pay.
Personal Injury Protection (PIP): is a type of no-fault insurance that covers medical expenses, lost wages, and other costs related to an auto accident, regardless of who is at fault. PIP coverage is especially important in states where it is mandatory, as it provides financial protection in the event of an accident. PIP provides financial cover for a range of expenses. These include medical costs, lost income, childcare, household expenses, survivors’ loss, and funeral expenses.
Part C — Uninsured Motorist Coverage
Unfortunately, while we may be responsible for purchasing and maintaining adequate coverage, others may not be so inclined to do the same. Uninsured motorist coverage will cover you if another driver causes bodily injury to you during an accident and they do not carry adequate liability insurance. This coverage also pays for injuries sustained when in an accident with a hit-and-run driver.
Part D — Coverage for Damage to Your Auto
Comprehensive coverage pays for damage to your vehicle for several named perils, such as fire, hail, flood, and theft. Collision coverage pays for damage to your vehicle due to impact with another vehicle or object. These coverages are not required by law but are important to protect your valuable property. A failure to maintain adequate Part D coverage can be costly. It will likely be required, however, by any lender or lienholder on your vehicle.
Part E — Duties After an Accident or Loss
For your coverage to be effective, you are required to promptly notify the insurer after a loss, cooperate with any investigation, notify the police in the event of a hit-and-run, and take reasonable steps to protect your vehicle from further damage after a loss. Failure to do so may prevent you from collecting from your insurer.
Part F — General Provisions
Finally, Part F discusses general policy provisions, such as how the coverage can be cancelled if you fail to pay your premium after a grace period.
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Keep in mind that a licensed independent insurance agent can help you comparison shop, as they have the ability to sell policies from serval insurance companies. Make sure that you get the coverage you need. Note that the minimum requirements for liability coverage are often not enough and may leave you with a bill to others in the event you cause more damage in an accident that your policy will pay. Your license agent can help you see your options. As always if you have questions or if you looking to compare your coverage options please reach to us here at Hub Insurance Agency , either online or by calling 361-756-5020.