Comprehensive car insurance

What does comprehensive insurance cover?

Some of the scenarios your comprehensive insurance covers are:

• Your vehicle is stolen
• Your vehicle is damaged by fire
• Your car is vandalized
• Your car is damaged during a riot or civil unrest
• Your vehicle's windshield is broken
• An object such as a tree or boulder falls on your car
• You hit an animal, causing damage to your vehicle
• Hail or other storm and natural disaster damage

A comprehensive insurance claim provides a maximum payout based on the actual cash value (ACV) of your car, less the deductible you have selected.

What isn't covered by comprehensive insurance?

Comprehensive car insurance exclude coverage for damages to another individual's property, medical expenses, and repayment for items taken from your vehicle.

• Accidents involving another vehicle
• You hit an object such as a tree or parking meter while driving your car
• Someone hits your parked vehicle
• Normal wear and tear, engine failure or other mechanical problems

Should I get comprehensive coverage?

To determine if you should get comprehensive coverage, consider your risk level, budget, and the value of your vehicle. If you have a newer car or are financing or leasing your vehicle, comprehensive insurance might be a good choice for you. It provides extra protection against damages not caused by collisions, such as theft, fire, vandalism, or natural disasters. Additionally, weigh the potential costs of these non-collision incidents against the cost of the coverage to make an informed decision.

Is comprehensive car insurance required by law?

Although comprehensive insurance is not required by state law, if you are financing or leasing your vehicle, your lender may require comprehensive coverage for the duration of your lease or until your car is paid off.

What options do I have for comprehensive deductibles?

Your deductible is how much you'll pay before your comprehensive coverage applies to your loss. Deductibles can vary depending on your location and circumstances. Choosing a higher deductible will lower your monthly premiums, but keep in mind that if you have an accident, you'll have to cover the deductible out of pocket before your insurance starts paying for the damages. 

What's the difference between comprehensive and collision insurance?

Comprehensive coverage and collision coverage are two of the main types of policies that are included in what many people call full coverage insurance. The key difference between collision and comprehensive coverage lies in the types of incidents they protect you from. Collision coverage specifically focuses on damage to your vehicle caused by accidental collisions with other cars or objects, paying for repairs or the car's actual cash value after deducting your chosen deductible. On the other hand, comprehensive coverage offers broader protection, covering damages not caused by collisions, such as theft, fire, vandalism, natural disasters, hitting an animal, or falling objects.

While both coverages do not pay for normal wear and tear or mechanical problems, they each address unique risks and offer valuable protection based on your needs. Comprehensive coverage is recommended if you have a newer car or are financing or leasing your vehicle, as it offers more extensive coverage for various incidents. Collision coverage is essential for those who want to protect themselves against repair costs after a collision, and it's often required by lienholders or lessors when financing or leasing. By understanding the differences, you can make an informed decision on the most suitable insurance coverage for your specific situation, ensuring peace of mind and financial security.

Examples of comprehensive insurance

Scenario 1

You drive a Toyota Corolla with an actual cash value of $12,000 and you have comprehensive coverage with a $1,000 deductible. After your vehicle is destroyed in a wildfire, you receive a settlement payment of $11,000 (your vehicle's $12,000 value less your $1,000 deductible). If you didn't have comprehensive insurance in this scenario, your collision or liability coverage wouldn't pay for the damage and you would be totally responsible for the $12,000 loss.

Scenario 2

You have a new car and comprehensive coverage with a $250 deductible. While you're driving on the freeway, a rock falls from the truck in front of you and cracks your windshield. Your comprehensive insurance pays the cost to replace your windshield, minus the $250 deductible you're responsible for.

Working with your AAA insurance agent to discuss your options is a good way to make sure all your insurance needs are covered. You can also sign in to your online AAA account to review your policies and coverage.

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