If you have been involved in a car accident, it is not uncommon to have some questions about who is responsible for paying repair costs. "Is collision damage covered by insurance?" you may wonder. It depends on the type of coverage you have in place. To help you better understand this topic, and to ensure you are adequately protected for all your drives in Vaughan, Richmond Hill, and beyond, Pfaff Autoworks answers below the all-important question: Does insurance cover collision damage?
So, is collision damage covered by insurance? If you carry a collision policy, the damage will likely be covered up to your policy's limits.* With that said, collision is not automatically included in every policy, so whether your plan covers collision damage primarily depends on what you selected when you purchased or last updated your coverage.
In most cases, collision coverage pays for damage to your vehicle resulting from a collision, regardless of who was at fault. Here are a few examples:
Keep in mind that if you are financing or leasing your vehicle, your lender will often require you to carry collision coverage. This is a way for the lender/lessor and the driver to protect their respective investments in the vehicle. Remember that liability insurance only pays for property and injury damages you cause others in an accident for which you are at fault; collision coverage protects your own vehicle. Also, comprehensive coverage--despite its name--does not include collision but rather applies to events like theft or damage from vandalism or natural disasters.
Is collision damage covered by insurance? Put another way, does insurance cover collision damage? In short, collision damage is only covered if you bought a dedicated collision policy. While optional for most drivers, it can provide significant financial protection and peace of mind, especially if you drive a new or high-value vehicle. Contact us for more information or visit us near Unionville today.
Disclaimer:
*Insurance policies differ from person to person. Check with your insurance provider for more details.
Feel free to contact us in Markham if you would like more information about how rental cars are covered by personal insurance. With insurance looking out for you and your rental car, you can take to the roads of Vaughan and beyond with confidence.
