If you carry collision on your automobile insurance policy, your insurance carrier will pay for damage you sustain to your own car, whether you were at fault or not. Although Florida does not require collision coverage, consumers often benefit from having it on their policy for a few reasons.
First, even if you were not at fault for the accident, you can make a claim through your own carrier and avoid the hassle of dealing with the other party and his/her insurance company. Your insurance company will pay for the damages, and then make a demand on the other party to pay it back (even your deductible).
Second, if you were at fault for an accident, your automobile insurance carrier would step in and fix the damage to your car or, in the case of a total loss, pay you fair market value for the car.
The deductible is the amount you are required to pay before the insurance carrier will pay their part. Usually, the lower the deductible, the higher the insurance premiums you pay each month are.
When your car is damaged, and has to go into the shop for repair, rental coverage will usually pay $25 - $35 per day for a rental car. If you were not at fault for the accident, the at-fault party’s insurance company will usually cover the rental. However, if the at-fault party did not have insurance or was underinsured, your insurance company will not automatically pay for a rental car. In that scenario, you would need rental coverage. Rental coverage is not standard on most auto policies. Therefore, if it is something you want included in your policy, it is important to ask your insurance agent and look at the policy coverages before making a final decision.
At Mickey Keenan, PA, we understand that deciphering insurance policies and dealing with insurance companies can be confusing, time-consuming, and challenging. When you are injured through the fault of another driver, we are here to answer your questions and help you achieve maximum recovery for your injuries.