What’s the Difference Between Collision and Comprehensive Auto Insurance?

Insurance is an important consideration for car owners. You may see two terms when shopping for car insurance: collision and comprehensive. Collision covers damage that your vehicle sustains when it hits or is hit by another vehicle or object. Comprehensive covers all other types of physical damage that happens to your vehicle not caused by a collision, including deer and falling objects like trees. 


In the event of an accident where you strike or are struck by another object or vehicle, collision auto insurance, such as from a car insurance Newark DE company, pays for damages to your vehicle. The goal is to keep you on the road, which means they will pay for the cost of repairs or replace your vehicle if it’s totaled. The cost of collision insurance can vary depending on your driving record, car, the deductible you choose. 


Comprehensive insurance is a type of auto insurance that covers your vehicle from any damage from accidents other than collisions, such as from deer or falling trees. If your car is damaged by an unexpected event not covered by collision insurance, this coverage could help pay for the costs of repairing or replacing your car. 

There are two major types of reimbursement: actual cash value and guaranteed replacement cost coverage. If you choose ACV, your insurer will pay for whichever amount is lower: the current market value of the vehicle or the repair estimate. GRC will reimburse you for the full cost to repair or replace your vehicle, no matter how much it actually costs. 

Insurance is an important consideration for car owners. The cost of car insurance can vary, depending on your location, the type of car you own, and your driving record. It’s important to know what your policy covers before choosing the type of auto insurance that will best suit your needs,