Understanding the Different Types of Auto Insurance Coverage

The different types of auto insurance mentioned above aren’t the only ones you can choose from. Here are a few optional coverages to consider:

• Rental car reimbursement: If your vehicle gets damaged and requires repairs in the shop, rental car coverage will pay for a temporary rental. To receive rental car coverage, you must experience a covered loss, such as hail damage or an accident.
• Roadside assistance: If your car breaks down or experiences a mechanical issue while you’re driving, roadside assistance may help cover towing, jump-starts, tire changes, and lockout assistance.
• Rideshare coverage: If you use your personal vehicle for a rideshare service, your auto policy typically won’t pay when you’re working. Rideshare insurance extends coverage to when you’re waiting for a ride request or on the way to pick up a passenger.
• Classic car insurance: If you own a classic or antique vehicle, you may need specialized insurance coverage. Classic car insurance typically includes agreed value coverage, which means you and the insurance company agree on the vehicle’s value upfront.
• New car replacement: If your brand-new vehicle gets totaled or stolen soon after you buy it, new car replacement coverage will cover the cost of buying the exact same vehicle without factoring in depreciation.
• Original parts replacement coverage: If your car needs replacement parts during a covered repair, original parts coverage will pay for replacement parts designed and built by your vehicle manufacturer.