Primary Auto Insurance

Do you know about auto insurance ?
Auto insurance is insurance for motorcycle or car insurance, the consumer for the purchase of cars, trucks and other vehicles.

Primary Auto insurance use to provide protection against losses. Depending on the nature of the coverage purchased, consumers can be protected against in step to purchase of auto insurance :

1. The cost of purchasing a new vehicle, if it is stolen or damaged beyond economic repair
2. The cost of repairing the vehicle after get a accident
3. Legal action against the driver or the owner of the vehicle after the vehicle caused damage or injury to any third party.

Liability insurance covers only the last point, while the comprehensive insurance covers all three. Even comprehensive insurance is not fully cover the risks associated with buying a new car. As a result of the sharp decline in value immediately after the purchase, there is generally a period in which the remaining car payments exceed the damages from the insurer will pay for a "total" (destroyed, or amortized) vehicle. So-called GAP insurance was established in early 1980 is to protect consumers based on buying and market development. The escalating price of cars, auto loans extended, and the growing popularity of leasing gave birth to GAP protection. GAP waivers provide protection for consumers if there is a gap between the actual value of their vehicle and the amount of money owed to the bank or leasing company. In some countries, including New Zealand and Australia market structures mean that people are more inclined to purchase a nearly new car than a new car so this is less of a problem.

Liability insurance generally does not protect the policyholder, if it any other vehicles than their own. When you drive a vehicle owned by another party, you are covered under the policy of this party. Non-owners policies may be offered, that would be an insured on any vehicle they drive. This coverage is available only to those who do not own their own vehicle.Liability insurance covers claims against the insured and in general in the United States, another operator of the insured vehicle, provided that they do not live at the same address as the insured and are not specifically excluded by the policy. In the case of those who live at the same address, they should be specifically addressed in the policy. It is therefore necessary for example, if a family member comes from the driving age should be added to the policy.

The general liability is spread when you rent a car. But in most cases only the liability applies. Any additional coverage, such as a comprehensive policy, which is to say "full coverage" may not apply. Full coverage premiums are based on, among other factors, the value of the insured vehicle. This cover does not apply to rental cars because the insurance company does not want responsibility for a claim of more than the value of the insured vehicle, assuming a hired car may be worth more than the insured vehicle. Some states such as Minnesota, may require that the article on rental cars. Most rental car companies offer insurance to cover damage to the vehicle rentals. In some regions, the costs associated with the lack of access to the vehicle ( "loss of use") is also covered.