According to the Insurance Information Institute of the United States (III), auto insurance policies in the country are made up of six parts, some of them mandatory and others optional , which can be requested by the driver according to their needs. Such parts or hedges are the following:
1. Liability coverage for physical damage: necessary to cover physical damage that the driver has caused to other people. This coverage is valid both for the main driver of the policy and for the other members of the family that are also included in the contract and is not exclusive to the own vehicles, therefore, it also protects the driver in case he is operating someone else’s car. Being the most important, the experts recommend that the insured raise the value of this benefit to a higher sum than usual, in this way they will be protected in case the affected person sue for large sums of money.
2. Coverage of medical expenses or protection of personal damages: necessary to cover the possible injuries that the driver who has contracted the policy may suffer. This coverage also includes the driver’s passengers and applies to expenses for treatment, hospitalization or medical fees derived from a traffic accident. It also applies to funeral expenses, in the event of the death of any of those involved.
3 . Liability coverage for damage to the property of third parties: This coverage applies in the event that during an accident the driver damages private or public property such as poles, buildings or other structures.
4. Coverage for collision or collision: necessary to cover the expenses that the insured’s car may suffer during a traffic accident, whether it collides with a public or private structure, against another car or also in the event of a rollover . In a regular insurance policy, this coverage has a deductible whose amount is optional. The higher that amount, the lower the annual policy payment .
5. Extensive coverage or against other risks: when the insured includes this coverage, the insurance company pays for damages other than collisions, from those that are caused by natural disasters to those that may result from the sudden appearance of animals on the way It is also associated with the payment of a deductible and in cases of cars financed by a company or lender, it is practically mandatory.
6. Coverage for uninsured motorcyclists: applies when a motorcyclist collides with the insured and runs away. This coverage obliges the company to reimburse the expenses for damages caused during an accident of this type.
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