For starters, commercial vehicle insurance comes in three broad categories; liability, medical and car-based. And, if you’re buying a new van, it makes perfect to get insurance for common hazards. After all, you want full compensation for the losses incurred after a crash. That said, your quest to get a policy that suits your needs start by understanding the common types of insurance coverage available.
Collision coverage will cater for the repairs of your auto after an accident. In case the cost of repair surpasses the value your vehicle this cover will pay for the value of your car at the time of the crash.
Note; if your car is under finance, the institution giving the loan may insist that you have some collision coverage. It is also advisable that you get collision coverage if your auto is expensive because financing repairs from your pocket after an accident may leave a hole in your wallet.
While you can shop for special deals, be sure to take your van to a registered valuer before you buy insurance. The last that you want is to under or over insure your van since it has a direct implication on the compensation amount following a crash.
Most states require that every motor vehicle owner should have no-fault insurance. In such states, you will be compensated for medical expenses by your insurance provider irrespective of who is to blame for the accident. No fault insurance also caters for up 85% of lost income as a result of the injuries sustained and care costs. Additionally, no-fault insurance will cover for repair and replacement costs for property damage as well as legal fees up to a certain amount if you get sued for causing severe injuries or death of another person in the crash.
If you’re involved in a car accident, and you happen to be at fault, liability insurance will cover help you pay for the costs of repairing property damage and medical bills as a result of injuries. While you may opt to purchase the minimum liability insurance coverage as required by the law, it is advisable to have coverage that is above your state’s minimum requirement.
Personal Injury Protection
Personal Injury Protection (PIP) is must if you’re serious about the consequences of getting in a car accident. Medical expenses are a result of injuries can quickly add up, and PIP will come in handy irrespective of who is to blame for the crash. While the scope of Personal Injury Protection may vary from one state to the other, it typically covers, hospitalization, rehabilitation and at times, lost wages up to the limit you choose.
The Bottom Line
When involved in an accident, pursuing compensation can be a complex affair. Despite being covered, insurance policies have exclusions and exemptions. Contact a car accident lawyer to help you know what your options. Also, talk to an insurance agent so that you can have a better understanding of what to expect with each cover before you buy.