Comprehensive vs Collision Insurance
Comprehensive vs Collision: Comprehensive and collision insurance are two different types of auto insurance available in the insurance market. Moreover, there are other types associated with these two types for covering the cost of repair or replacement of any car or auto part. However, it is essential to understand the difference between these two auto insurance policies.
What is Comprehensive Insurance?
Comprehensive auto insurance is a policy that covers all the incidents or events that come under the ‘Act of God’ while on the road. These are the situations when circumstances out of human control like floods, hurricanes, earthquake, or natural disasters cause harm to the vehicle or the driver of that specified vehicle.
The elements taken into considerations under comprehensive cover include:
• Windshield Coverage: Any damage caused to the windshields or any other glass of the car.
• Fire Damage: Damage caused to a car due to uncertain fire erupting in the vehicle.
• Deer Accidents: Any damage caused to the car due to an accident with a deer or for that matter any animal or bird.
• Hail Damage: Damage caused to the vehicle due to a hailstorm.
• Stolen Car: If a stolen car stays missing for more than a month then it falls under this type of insurance.
• Flood Damage: Damage caused due to a high level of water rising in case of flood or heavy rains.
• Damage Due to Tree Falling: A vehicle smashed under a falling tree.
• Riots: Damaged caused to the vehicle in case of any riots or disturbances occurring in the city.
What is Collision Insurance?
Collision auto insurance is a policy that covers all incidents or events caused due to an accident caused by the driver of the vehicle. Majority of the factors under human control that contribute to car crashes fall under this type of insurance.
The elements taken into considerations under collision cover include:
• Car Crash: In the case of a car crash with another vehicle, one of the vehicles is liable for insurance coverage.
• Pot Hole: Damage caused due to missing a pothole while driving fall under this type of insurance.
• Tree: Damage caused by a car hitting a standing or an already fallen tree is considered a collision.
• Guard Rail: Damage caused due to the car running or crashing into any non-living object.
• Ditch: A narrow channel at a corner of the road is often unnoticeable. Damage caused due to landing in such a canal is considered a collision.
What is the Difference between Comprehensive and Collision Insurance?
The notable difference between comprehensive and collision coverage depends on the control of the driver or the motorist. When the command is in the hands of the driver, it is a collision, and when the situation is beyond human control and out of the reach of the motorist, it falls under comprehensive insurance.
Both comprehensive and collision types of auto insurance have its significance and coverage policies. However, there are cases when both the factors come into the picture but the coverage processes after analyzing the actual cause of the damage. For example, when a car hits into a standing tree to save a deer or a dog, collision insurance comes into view. In this scenario, although the main reason was the uncertain passage of the deer on the road but the damage caused to the vehicle was because of the car hitting the tree. Hence, this accident will fall under collision coverage, and comprehensive coverage will take a back seat.
On the other hand, if a car takes a sudden turn right or left to avoid a ditch or pothole on the way and suddenly a tree falls and smashes the vehicle, comprehensive insurance comes into the picture. In this scenario, although the first factor was avoiding a collision the damage caused to the vehicle was because of a falling tree. Hence, this incident will fall under comprehensive insurance.
Comprehensive and collision auto insurance, both have their own set of benefits for drivers on the road. However, it is essential for the driver or the motorist to consider all the essential elements and factors including the age of the car, a rough estimate of the expenses of the car parts, driving habits and credit score before picking up any type. It is also essential to learn about what is covered and what not because all insurance companies have their defined set of principles and limitations for auto insurance. However, the fundamental principle remains same all across the insurance sector.