Collision vs. Comprehensive Insurance (2024)

FAQs

Collision vs. Comprehensive Insurance? ›

Comprehensive insurance also covers vehicle theft; collision does not. While most people buy both coverages together, you can buy them individually. For instance, if you decide you don't want collision, you can still buy comprehensive, and vice versa.

Comprehensive covers damage to your vehicle from unexpected non-collision incidents like theft, animal damage, falling trees, and weather damage. Collision covers damage to your vehicle that's the result of a collision with another vehicle or object.

If you're more likely to get into an accident, you won't want to pay out a higher deductible. However, if you're generally a safer driver, your car insurance premiums will be lower with a $1,000 deductible.

Most lenders require you to have collision coverage if you finance or lease your car. Collision insurance might be worth it if you'd have a hard time paying to repair or replace your wrecked car on your own.

Higher costs for replacement parts are a key factor driving up car insurance rates. Your collision insurance rates could be higher if you recently filed a claim for auto accident damage.

Between 10 and 15 years after a vehicle's model year, full coverage is a poor investment. While the cost of full coverage by itself likely won't be more than what a car is worth, the cost of insurance is more likely to be higher than the value of the car after an accident.

Comprehensive and collision insurance are both options that you should consider adding to your policy. That's because comprehensive coverage protects your vehicle from unexpected damage like a tree branch falling or hitting an animal, while collision insurance protects against collisions with another object or vehicle.

Your deductible should be an amount you can comfortably cover in case you need to file a claim. Car insurance deductibles usually range from $100 to $2,000, with a $500 deductible being the most common.

Comprehensive deductibles serve to share auto repair costs from non-collision events. Usually set from $100 to $1,000, it affects premiums and out-of-pocket expenses before insurance coverage kicks in.

If you want to have peace of mind on the road, comprehensive coverage can be worth it as it will help to repair or replace your vehicle when damage is sustained from events other than an auto accident.

Why is no collision coverage recommended? ›

Your vehicle's value is less than a few thousand dollars: If your car holds minimal value, collision coverage may not be worth carrying. This is especially true when a large car insurance deductible is involved.

A collision insurance policy can protect you from a costly repair or replacement after an accident. If you are involved in an accident where the other driver is at fault, that driver's policy may not cover the full cost of damages to your vehicle, and your collision policy can pay the remainder of your bills.

There are three kinds of collision insurance you can choose from: limited, standard, and broad form. The chart tells you when each kind of insurance will pay YOU if your car is damaged in an accident.

On average, drivers with poor credit pay 118 percent more for full coverage car insurance than those with excellent credit. California, Hawaii, Massachusetts and Michigan prohibit or limit the use of credit as a rating factor in determining auto insurance rates.

Many factors contribute to Allstate being expensive, including rising costs for insurance companies and the way it pays its agents. Damage claims and payouts also factor into its higher-than-average rates.

If you own your vehicle outright and choose not to carry collision coverage, you will have to pay to repair or replace your vehicle out of pocket if you're involved in a single-vehicle accident or found at-fault in an accident.

Comprehensive insurance coverage is defined as an optional coverage that protects against damage to your vehicle caused by non-collision events that are outside of your control. This includes theft, vandalism, glass and windshield damage, fire, accidents with animals, weather, or other acts of nature.

Deductibles. Typically, collision and comprehensive coverages have separate deductibles, and you can choose different amounts for each deductible. Comprehensive coverage deductibles are typically offered in lower amounts than for collision coverage. When it's claim time, you pay separate deductibles for each incident.