Texas Auto Insurance
Everything you need to know about insurance!
What is Full Coverage?
Full Coverage does not really exist. You hear this most often when you are buying a car and the finance company tells you need to have “full coverage” What they really mean is they want you to have comprehensive and collision coverage on your car to protect their investment.
What is Collision Coverage?
Collision coverage is the coverage that repairs your car if you hit something with you car.
What is Comprehensive Coverage?
Comprehensive coverage is the coverage that repairs your car from damage due to weather, theft, fire and many other things.
What is the difference between Medical Payments and Personal Injury Protection(PIP)?
Medical Payments and Personal Injury Protection pay for those medical bills that might not be covered by health insurance. Personal Injury Protection adds loss of income. If you have disability insurance, you may not need personal injury protection.
How much liability insurance should I carry?
It all depends on what you want to protect. If you want to make sure you take care of someone that you hurt in accident, then you would carry a lot of liability insurance.
If you want to make sure you don’t lose everything in a lawsuit then you carry a different amount. Bottom line is most people should carry more insurance than they do if they want to do the right thing.
If I am sued because of an auto accident, what can I lose?
In Texas, you cannot lose your money in a 401K, annuity or life insurance contract. If your home has a homestead exemption, you cannot lose your home, but a lien can be placed on the home. Any cash, CD’s, Stock, rental property can be seized. Each state is different. You may want to ask a lawyer or insurance agent in your state.
Should I carry glass coverage?
It depends on your financial situation and your opinion on what is insurance. Since, everyone is required to have insurance, companies have added “benefits” to the policies to help people feel they are getting more value. Most glass claims are less than $100 unless you must replace the windshield and even then, it is usually less than $500. So, if $500 is financial strain, then yes take the coverage. If not, then don’t take the coverage and help keep your insurance costs down.
What is Uninsured Motorist Coverage?
Uninsured Motorist coverage is designed to take of you in the event you hit and/or injured by and a person who does not have insurance.
Do claims affect my rates?
Short answer Yes! All claims affect all your insurance costs. The more insurance companies pay in claims the more they must charge everyone. Not all claims affect your personal rate immediately. For instance, glass claims may not make your rate go up but when you decide to look for a better rate, all claims will be considered when determining a rate for you.
What does liability cover?
Liability covers damages to property or injuries your cause with your automobile. It will pay a certain amount to each person injured. This is the “limit” of your liability insurance. It will also pay for damage to property you may cause.
When can I cancel my insurance?
You may cancel your insurance at anytime by notifying your agent or company in writing. Be sure you have already obtained other insurance first.
Why do insurance companies want my social security number?
Most insurance companies use some type of credit information why determining a price. This inquiry does not affect your credit score.
If I total my car, how much will the insurance company pay me?
If your car is totaled, the insurance company will pay the actual cash value of your vehicle less any deductible you may have.