Vehicle insurance, also known as auto insurance or car insurance, provides financial protection to vehicle owners in the event of covered incidents. The specific coverage can vary based on the type of policy and the options selected by the policyholder. Here are the main types of coverage typically offered in a standard auto insurance policy:
Liability Coverage:
Bodily Injury Liability (BI): This coverage pays for injuries that you, the designated driver, or policyholder, cause to someone else.
Property Damage Liability (PD): This coverage pays for damage that you, the designated driver, or policyholder, cause to someone elseโs property.
Collision Coverage:
Pays for the repair or replacement of your vehicle in case of a covered collision with another vehicle or object.