Which Coverage Included in an Automobile Insurance Policy Covers Property Damage?

by Neil Kokemuller
Much of your standard auto policy pays for damages.

Technically, all three major components of a full-service auto insurance policy cover property damage. The distinction is within the types of damage-causing events each element specifically pays benefits toward. Comprehensive and collision coverage pay for the damages to your property or vehicle. Liability insurance, which is required in most states, cover's another person's property if you cause an accident.

Coverage Details

With liability auto protection, you buy a certain amount of per-accident and per-vehicle protection. If you are at fault in an accident, the coverage pays for replacement or replacement of the other parties' vehicles, up to your benefit maximum. Collision coverage pays for the replacement or repairs to your vehicle if you are in an accident. Comprehensive coverage pays for replacement or repairs after many non-collision events, such as natural disasters, animal damage, theft or vandalism and falling objects.

About the Author

Neil Kokemuller has been an active business, finance and education writer and content media website developer since 2007. He has been a college marketing professor since 2004. Kokemuller has additional professional experience in marketing, retail and small business. He holds a Master of Business Administration from Iowa State University.

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