After you make a change, you should get a notification from your insurance carrier. If you have not received such a notification after a week, then call them to confirm the changes have been made.<\/p>\n\n\n\n
And if the carrier does not automatically provide it, be sure to ask them for a new declarations page. This lets you verify the accuracy of the latest information and that the requested changes have been made.<\/p>\n\n\n\n
Various Levels of Coverage<\/h2>\n\n\n\n
Whether you have made changes to your auto insurance policy or are merely reviewing information, it\u2019s important to understand the different coverage levels and what they mean for you. This is arguably the most critical information when you are deciding to increase or decrease your amount of coverage.<\/p>\n\n\n\n
Liability coverage is required in most states, though the exact level of liability coverage you must have varies from state to state. Generally speaking, liability helps to cover costs related to medical bills, vehicle repairs, and legal settlements.<\/p>\n\n\n\n
Liability is also broken into three subcategories, each with its own level of coverage. They include an amount for bodily injury, another for incident limit related to bodily injury, and one more for property damage.<\/p>\n\n\n\n
Collision insurance is relatively self-explanatory. This helps to pay for damage to your car as a result of a collision with another vehicle. And collision insurance provides coverage whether you were at fault in an accident or not.<\/p>\n\n\n\n
Comprehensive insurance<\/a> goes above and beyond other levels. It helps to protect your vehicle against theft, rioting, and vandalism, as well as certain natural disasters (such as floods, hail, fire, earthquake, or damage caused by contact with animals).<\/p>\n\n\n\n Personal Injury Protection (often abbreviated as PIP) pays for the medical treatment costs of the insured driver and any passengers in the vehicle. This carries out regardless of who was at fault and can help go toward funeral costs and even lost wages.<\/p>\n\n\n\n Finally, uninsured and underinsured motorist coverage pays for damages if you are hit by a driver who has no insurance or insufficient insurance<\/a> to pay for damages. This can provide great peace of mind if you are worried about being stuck with major bills after someone hits your car.<\/p>\n\n\n\n When you\u2019re reviewing your policy, you may notice certain words are printed in bold. These are policy terms. Unfortunately, many don\u2019t understand what these terms mean in the context of their insurance.<\/p>\n\n\n\n For example, you may see references to \u201cfamily member\u201d or \u201cthe insured.\u201d While \u201cfamily member\u201d is pretty easy to understand, the phrasing of \u201cthe insured\u201d (sometimes written out as \u201cnamed insured\u201d) is an indicator that coverage will only apply to the person (or persons) named. But if it is written out as \u201cand\/or any insured,\u201d the policy can cover those not explicitly named.<\/p>\n\n\n\n Making sure everyone is covered is very important if you have a family. In fact, that is why family car insurance<\/a> exists!<\/p>\n\n\n\n Your policy will detail \u201ccovered autos,\u201d which simply refers to the vehicles that are covered by the policy. But you need to see if your policy says anything about \u201csubstitute vehicles.\u201d This determines whether your insurance policy can help cover a rental or another kind of temporary vehicle.<\/p>\n\n\n\n The policy will also refer to \u201cactual cash value.\u201d This term is usually used for collision and comprehensive policies and specifies the carrier’s payment limits. In this case, whatever the market value of your car is at the time. Because the value of newer cars depreciates very quickly, some drivers opt for gap insurance to help soften the potential financial blow when a new vehicle is damaged or totaled.<\/p>\n\n\n\n And you may see the term \u201caftermarket parts\u201d in your policy. This means that the insurance carrier may use non-original equipment manufacturer (OEM) parts to help repair your vehicle. But if the use of OEM parts is important to you, you can add a special endorsement to your policy.<\/p>\n\n\n\n Beyond these terms, we recommend you pay close attention to sweeping words such as \u201call\u201d and specific words such as \u201cexcept\u201d and \u201chowever.\u201d The devil is always in the details, and these terms help define what your carrier will (and will not) cover.<\/p>\n\n\n\n Speaking of understanding the details, you must explore any items in your policy listed as \u201cexclusions.\u201d In the case of your policy, \u201cexclusions\u201d refer to things not covered by your insurance.<\/p>\n\n\n\n For the most part, exclusions define certain behaviors that are beyond the scope of your coverage<\/a>. This can include things like you causing deliberate damage to a vehicle or even using the vehicle for business purposes (such as a part-time ridesharing business).<\/p>\n\n\n\n Long story short? If you\u2019re worried about what your insurance cannot and will not cover, pay very close attention to the list of exclusions.<\/p>\n\n\n\n Now that you know how to read and understand your auto insurance policy, USAgencies can help you find the best rates for your needs and budget. We can help you save on Alabama car insurance!<\/p>\n\n\n\n We make it easy to get insurance rate quotes at the press of a button. Start a quote today to see how much money we can save you! You can get a free Alabama car insurance quote online<\/a>, over the phone<\/a>, or at one of our offices near you<\/a>.<\/p>\n\n\n\nReviewing Policy Terms<\/h2>\n\n\n\n
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<\/figure><\/div>\n\n\n\nUnderstanding Exclusions<\/h2>\n\n\n\n
Your Next Move<\/h2>\n\n\n\n