Auto Insurance Coverage Explained
Purchasing car insurance can be a daunting task. There are multiple coverage options and state requirements to consider, and if you have a leinholder or are leasing your vehicle, you have to comply with their demands as well. At L&M Insurance Group, we will take the time to educate you so you can make an informed choice before your purchase. Below you will see the major coverages to consider when shopping for car insurance. Take the time to read through the different options and don’t hesitate to call or use the email link on our site to ask additional questions or request a quote.
WHAT IS BODILY INJURY LIABILITY AND PROPERTY DAMAGE LIABILITY? (BI-PD)
These coverages are the most commonly purchased types of car insurance, and make up the core of most policies. Bodily injury covers expenses related to medical costs, sickness, pain and suffering, lost wages and death for the injured third party. Basically, it pays on your behalf if you cause a crash and injure someone else, and, surprisingly, it’s not required to register your car for most Florida drivers–although it is a recommended coverage. Property damage covers damage to a third party’s property in an at-fault accident and is a required coverage for all Florida car owners.
WHAT IS UNINSURED MOTORISTS COVERAGE? (UM)
This is perhaps the most misunderstood coverage for Florida policyholders. Most people think uninsured motorist coverage will pay for damages to their car when they are involved in an accident with an at-fault driver who is uninsured. This is not true. Uninsured Motorist covers your medical bills, lost wages, pain and suffering after your $10,000 PIP coverage is used up. Even then, it only pays after the other driver has been declared at fault in the accident and it has been determined they are uninsured or underinsured. You can purchase “stacked” uninsured motorist coverage, which costs more, to increase the amount of coverage on your policy.
WHAT IS PERSONAL INJURY PROTECTION? (PIP)
PIP, or “no fault” coverage is mandatory in Florida and provides $10,000 coverage for your medical costs, disability benefits and death benefits. It’s called “no fault” because it does not matter who is at fault in an accident: everyone is supposed to have their own PIP coverage to cover their own injuries. PIP is a required coverage for all Florida car owners.
WHAT IS MEDICAL PAYMENTS COVERAGE? (MED-PAY)
Med Pay provides coverage for certain medical and funeral expenses for all those occupying a covered vehicle involved in an accident, regardless of who is at fault.
WHAT IS COMPREHENSIVE INSURANCE? (COMP)
Comprehensive provides coverage in the event of a loss or damage to an insured vehicle caused by incidents other than a collision. This includes damages due to fire, theft, vandalism, windstorm or contact with an animal.
WHAT IS COLLISION INSURANCE? (COLLISION)
Collision provides coverage in the event of a loss or damage to an insured vehicle caused by a collision.
WHAT IS RENTAL REIMBURSEMENT and ROADSIDE ASSISTANCE?
Rental Reimbursement provides coverage for rental car costs to temporarily replace an insured vehicle due to a covered loss.
Roadside Assistance coverage provides payment for an authorized service representative to provide (1) towing of a covered disabled vehicle to the nearest qualified repair facility and (2) labor on a covered disabled vehicle at the place of disablement when necessary due to a covered emergency.
L & M Insurance Group is an independent insurance agency. That means we can compare your car insurance costs with multiple companies. We currently compare your auto rates with more than 15 different carriers–that is the most competitive way to shop your policy. Click on the “contact us” link and ask for a quote today–or call us at 813-672-4100!