Comprehensive auto insurance is a type of coverage that provides protection against damage to your vehicle that is not caused by a collision with another vehicle or object. It is often referred to as “comp” or “other than collision” coverage, and is typically an optional add-on to a basic auto insurance policy.
Comprehensive auto insurance typically covers a wide range of events and situations, including:
- Theft
- Vandalism
- Fire
- Natural disasters (such as floods, hurricanes, and earthquakes)
- Falling objects (such as tree branches)
- Animal damage (such as hitting a deer)
- Broken or shattered glass
- Damage from civil disturbances (such as riots or protests)
- Damage from explosions or other accidents
It is important to note that every insurance policy is different, so the specific coverage and limits provided by your comprehensive auto insurance may vary depending on your insurer and the policy you choose. Some comprehensive policies may also include additional benefits, such as rental car coverage or emergency roadside assistance.
Is comprehensive insurance full coverage
Comprehensive insurance is not the same as full coverage auto insurance. Full coverage typically refers to a combination of several different types of insurance coverage, including liability, collision, and comprehensive coverage.
Liability coverage is required by law in most states and covers the costs associated with injuries or property damage you may cause to others in an accident. Collision coverage helps pay for damage to your own vehicle if you are in an accident with another vehicle or object. Comprehensive coverage, as discussed earlier, covers damage to your vehicle from incidents that are not caused by a collision, such as theft, vandalism, or natural disasters.
Therefore, while comprehensive coverage is an important part of a full coverage auto insurance policy, it does not cover all types of damage or incidents that can occur. It is important to review the specific coverage options and limits provided by your insurance policy to determine if you have full coverage or if additional coverage is needed.
Comprehensive vs collision insurance
Comprehensive and collision insurance are two types of coverage that are commonly offered by auto insurance companies in Ontario, Canada.
Comprehensive insurance is designed to cover damage to your vehicle that is not caused by a collision. This can include things like theft, vandalism, fire, falling objects, or damage caused by weather conditions. Comprehensive coverage will typically pay to repair or replace your vehicle up to the actual cash value (ACV) of the vehicle, minus any deductible that you have selected.
Collision insurance, on the other hand, covers damage to your vehicle that occurs as a result of a collision with another vehicle or object, regardless of who is at fault. Collision coverage will typically pay to repair or replace your vehicle up to the ACV of the vehicle, minus any deductible that you have selected.
In Ontario, both comprehensive and collision insurance are optional types of coverage, meaning you are not required by law to have them. However, if you have a lease or loan on your vehicle, your lender may require you to have collision coverage.
When deciding whether to purchase comprehensive or collision insurance, it’s important to consider a few factors. If you have an older vehicle that is not worth a lot of money, you may choose to forego collision coverage, as the cost of the coverage may be more than the vehicle is worth. On the other hand, if you have a newer or more expensive vehicle, you may want to have both comprehensive and collision coverage to ensure that you are fully protected in case of an accident or other damage to your vehicle.
Comprehensive coverage vs full coverage
Comprehensive coverage and full coverage are two different types of auto insurance coverage that are often confused with one another.
Comprehensive coverage typically covers damage to your vehicle caused by non-collision events, such as theft, vandalism, fire, and natural disasters. Comprehensive coverage may also cover damage to your vehicle caused by collisions with animals, such as deer. However, comprehensive coverage does not cover damage to your vehicle caused by collisions with other vehicles or objects.
Full coverage, on the other hand, typically refers to a combination of different types of auto insurance coverage, including liability coverage, collision coverage, and comprehensive coverage. Full coverage may also include additional optional coverages, such as uninsured/underinsured motorist coverage, roadside assistance, and rental car reimbursement.
In other words, full coverage is a broader term that may include comprehensive coverage, but also includes other types of coverage that protect you in different situations, including accidents with other drivers or injuries to yourself or others.
It’s important to note that full coverage is not a specific type of coverage that is offered by all insurance companies. Instead, it is a term that is commonly used to describe a policy that includes multiple types of coverage. When shopping for auto insurance, it’s important to carefully review the details of each policy to understand what types of coverage are included and what is excluded.
Can you get just fire and theft car insurance?
Yes, in Ontario, it is possible to purchase a car insurance policy that only covers fire and theft. This type of coverage is known as “fire and theft coverage,” and it provides protection in case your vehicle is stolen or damaged by fire.
Fire and theft coverage is a type of comprehensive coverage, which means it does not cover damage to your vehicle caused by a collision with another vehicle or object. If you want to have coverage for collisions, you would need to purchase collision coverage in addition to fire and theft coverage.
It’s important to note that fire and theft coverage is an optional type of coverage, which means you are not required by law to have it. However, if you have a lease or loan on your vehicle, your lender may require you to have this type of coverage.
Is it worth having fully comprehensive insurance?
Whether or not fully comprehensive insurance is worth having depends on your individual circumstances and risk tolerance.
Fully comprehensive insurance typically provides the most extensive coverage available for your vehicle, including coverage for damage to your vehicle in the event of an accident, theft, fire, or other covered events. It may also include additional coverage options such as roadside assistance, rental car reimbursement, and personal injury protection.
Fully comprehensive insurance can be particularly beneficial if you have a newer or more expensive vehicle, as the cost of repairing or replacing the vehicle in the event of an accident or other damage can be high. Additionally, if you have a lease or loan on your vehicle, your lender may require you to have comprehensive coverage.
On the other hand, if you have an older or less valuable vehicle, the cost of fully comprehensive insurance may outweigh the benefits. In this case, you may choose to forego fully comprehensive coverage in favor of more limited coverage options, such as liability coverage or fire and theft coverage.
Should I have collision insurance on a 10-year-old car?
Whether or not to have collision insurance on a 10-year-old car depends on your individual circumstances and risk tolerance.
Collision insurance covers damage to your vehicle caused by a collision with another vehicle or object, regardless of who is at fault. If you have collision insurance on your 10-year-old car, your insurance company will typically pay to repair or replace your vehicle up to the actual cash value (ACV) of the vehicle, minus any deductible that you have selected.
If your 10-year-old car has a low market value, the cost of repairing or replacing the car may be less than the cost of the collision insurance premium. In this case, you may choose to forego collision insurance and opt for more limited coverage options, such as liability coverage or fire and theft coverage.
On the other hand, if your 10-year-old car has a high market value or you are concerned about the financial impact of repairing or replacing the vehicle in the event of an accident, you may choose to maintain collision insurance coverage.
At what point do you drop full coverage on my car?
The decision to drop full coverage on your car depends on a variety of factors, including the value of your car, your personal financial situation, and your tolerance for risk.
One common guideline used by many experts is the “10% rule,” which suggests dropping full coverage when the annual cost of the premium exceeds 10% of the car’s total value. For example, if your car is worth $10,000, you may want to consider dropping full coverage if the annual premium is more than $1,000.
However, this guideline is just a general rule of thumb, and the decision to drop full coverage should also take into account other factors such as your financial situation and your tolerance for risk. For example, if you have significant savings and could comfortably afford to replace your car if it were to be totaled in an accident, you may be comfortable with a higher level of risk and may choose to drop full coverage sooner.
Comprehensive Auto Insurance Facts
Here are some key facts to know about comprehensive auto insurance:
- Comprehensive coverage is typically optional: Unlike liability coverage, which is mandatory in most states, comprehensive coverage is optional in most cases. However, if you have a lease or loan on your vehicle, your lender may require you to have comprehensive coverage.
- Comprehensive coverage is not the same as collision coverage: While comprehensive coverage protects your vehicle from non-collision events, collision coverage protects your vehicle in the event of a collision with another vehicle or object. If you want coverage for both types of events, you may need to purchase both comprehensive and collision coverage.
- Comprehensive coverage may have a deductible: Like most types of insurance, comprehensive coverage may require you to pay a deductible before the coverage kicks in. You can typically choose the amount of your deductible when you purchase the coverage.
- Comprehensive coverage typically covers the actual cash value of your vehicle: If your vehicle is damaged beyond repair or is stolen and not recovered, your comprehensive coverage will typically pay you the actual cash value (ACV) of the vehicle, minus any deductible that you have selected.
- Comprehensive coverage may include additional benefits: Some comprehensive coverage policies may include additional benefits, such as roadside assistance, rental car reimbursement, or glass repair or replacement.
- The cost of comprehensive coverage can vary: The cost of comprehensive coverage will depend on a variety of factors, including the value of your vehicle, your driving record, your location, and more. It’s a good idea to shop around and compare policies from different insurers to find the best coverage and pricing for your specific needs.
FAQs
Q: Is comprehensive auto insurance mandatory?
A: Comprehensive auto insurance is typically not mandatory in most states. However, if you have a lease or loan on your vehicle, your lender may require you to have comprehensive coverage.
Q: What does comprehensive auto insurance cover?
A: Comprehensive auto insurance covers damage to your vehicle caused by non-collision events, such as theft, vandalism, fire, natural disasters, and more.
Q: Does comprehensive coverage have a deductible?
A: Yes, comprehensive coverage may have a deductible. You can typically choose the amount of your deductible when you purchase the coverage.
Q: What is the difference between comprehensive and collision coverage?
A: Comprehensive coverage protects your vehicle against damage from non-collision events, while collision coverage protects your vehicle in the event of a collision with another vehicle or object.
Q: How much does comprehensive coverage cost?
A: The cost of comprehensive coverage varies based on a variety of factors, including the value of your vehicle, your driving record, your location, and more. It’s a good idea to shop around and compare policies from different insurers to find the best coverage and pricing for your specific needs.
Q: Does comprehensive coverage cover stolen items from my car?
A: Comprehensive coverage may cover stolen items from your car, depending on your policy. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: Will my comprehensive coverage pay for a rental car if my car is stolen?
A: Comprehensive coverage may include rental car reimbursement, which provides coverage for a rental car while your vehicle is being repaired or replaced. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: Can I choose my own repair shop for comprehensive repairs?
A: Depending on your policy, you may be able to choose your own repair shop for comprehensive repairs. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: What is the actual cash value (ACV) of my vehicle?
A: The actual cash value (ACV) of your vehicle is the amount it would cost to replace your vehicle with a similar vehicle at the time of the claim, minus any depreciation.
Q: How can I lower the cost of my comprehensive coverage?
A: There are several ways to lower the cost of your comprehensive coverage, including raising your deductible, maintaining a good driving record, bundling your coverage with other policies, and shopping around for the best rates.
Q: Does comprehensive coverage cover damage caused by a collision with an animal?
A: Yes, comprehensive coverage may cover damage caused by a collision with an animal, such as a deer or a moose.
Q: What should I do if my vehicle is stolen?
A: If your vehicle is stolen, you should contact the police immediately and report the theft to your insurance company. Be sure to provide as much information as possible, including the make and model of your vehicle, the license plate number, and any identifying information.
Q: What should I do if my vehicle is damaged by a covered event?
A: If your vehicle is damaged by a covered event, such as theft or vandalism, you should contact your insurance company as soon as possible to report the damage. Be sure to provide as much information as possible about the damage, including the date and time it occurred and any other relevant details.
Q: How often should I review my comprehensive coverage?
A: It’s a good idea to review your comprehensive coverage annually or whenever you experience a major life change, such as buying a new car or moving to a new location. This can help ensure that you have the coverage you need at a price that is affordable for you.
Q: What happens if I don’t have comprehensive coverage and my vehicle is damaged by a non-collision event?
A: If you don’t have comprehensive coverage and your vehicle is damaged by a non-collision event, such as theft or a natural disaster, you may be responsible for paying for the repairs or replacement of your vehicle out of pocket.
Q: Does comprehensive coverage cover damage caused by a flood?
A: Yes, comprehensive coverage may cover damage caused by a flood, as long as the event is considered a covered event in your policy. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: Can I purchase comprehensive coverage without collision coverage?
A: Yes, you can purchase comprehensive coverage without collision coverage. Comprehensive coverage provides protection against non-collision events like theft, vandalism, and natural disasters, while collision coverage provides coverage for damage to your vehicle in an accident.
Q: Does comprehensive coverage cover damage caused by hail?
A: Yes, comprehensive coverage may cover damage caused by hail, as long as the event is considered a covered event in your policy. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: What should I do if my windshield is damaged?
A: If your windshield is damaged, you should contact your insurance company to determine if the repair or replacement is covered by your policy. Some comprehensive coverage policies may include coverage for glass repair or replacement.
Q: How do I know if I need comprehensive coverage?
A: Whether or not you need comprehensive coverage depends on your individual circumstances and risk tolerance. If you have a newer or more expensive vehicle, or if you are concerned about the financial impact of repairing or replacing your vehicle in the event of a non-collision event, you may want to consider comprehensive coverage. Be sure to speak with an insurance professional to determine the best coverage options for your specific situation.
Q: Does comprehensive coverage cover damage caused by a falling object, such as a tree branch?
A: Yes, comprehensive coverage may cover damage caused by a falling object, such as a tree branch, as long as the event is considered a covered event in your policy. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: Will my comprehensive coverage pay for a rental car if my vehicle is damaged by a covered event?
A: Comprehensive coverage may include rental car reimbursement, which provides coverage for a rental car while your vehicle is being repaired or replaced. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: Can I add comprehensive coverage to my policy at any time?
A: Depending on your insurance company, you may be able to add comprehensive coverage to your policy at any time. However, some insurance companies may require you to add comprehensive coverage at the same time as other coverage options, such as collision coverage.
Q: Does comprehensive coverage cover damage caused by a hit-and-run driver?
A: Yes, comprehensive coverage may cover damage caused by a hit-and-run driver, as long as the event is considered a covered event in your policy. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: Can I choose my own repair shop for comprehensive repairs?
A: Depending on your policy, you may be able to choose your own repair shop for comprehensive repairs. Be sure to carefully review your policy or speak with your insurance professional to determine what is and is not covered.
Q: How can I file a claim for damage covered by my comprehensive coverage?
A: If your vehicle is damaged by a covered event, such as theft or vandalism, you should contact your insurance company as soon as possible to report the damage and file a claim. Be sure to provide as much information as possible about the damage, including the date and time it occurred and any other relevant details.
About the Author: Valerie D. Hahn
