With most standard auto insurance policies, the driver, their vehicle, and the other drivers involved in an accident are some of the most common coverage areas. Where the situation may get a little muddy is figuring out other scenarios, which may or may not meet insurance requirements. To help clear up any confusion, there are several ways to determine which areas pass the qualification test.

Areas to Consider

One of the first areas to look at when determining what's covered is your state's minimum guidelines. Most require licensed drivers to at least have auto insurance that will pay for accident damages and injuries caused by their vehicles. Other states may need drivers to have additional policies such as coverage for uninsured or under-insured drivers. A professional agent can tell you what the minimum requirements are in your state.

Another way to figure out which areas can be covered is assessing the type of vehicles you have. While cars and trucks require auto insurance, motorcycles, scooters, mopeds, and ATVs will also need special coverage. The same is true for boats and other watercraft. Even luxury, high-end vehicles may require certain deductible and premium payment amounts. If you're unsure, speak with an experienced agent to get the facts on which insurance is legally needed.

What Are Some Other Factors?

If you are financing a vehicle from a bank or another lender, they may require comprehensive and collision coverage until the car or truck is completely paid off. Comprehensive auto insurance picks up the tab if a vehicle is stolen or sustains damage in non-accidents. Collision coverage pays for damage caused by a vehicle that hits another vehicle, building, or another structure.

Leasing companies typically require lessees to have gap insurance. The way the policy works is if the leased car or truck is totaled, the coverage will pay the difference between vehicle's value and any outstanding amount still owed on the lease. Fortunately, most leasing firms provide gap insurance, but the cost is usually included as a part of the lessee's monthly payment. 

These are just a few ways to figure out the coverage areas for auto insurance. The team of professional agents at Charles Adams Insurance Inc. in Ashland, KY, is the area's trusted resource for securing affordable and customized protection for all of your vehicles. They understand how unique each client is and will offer a special policy for their driving needs. To get started, call (606) 325-9709 for free, no-obligation insurance quotes, or visit the website for extensive information on the suite of products and services.