How is your totaled vehicle covered on your policy?
If another driver is at fault in the accident, their insurance pays you the value of your totaled vehicle with the at-fault driver’s property damage liability coverage. If your vehicle is damaged in any way or you were hit by a driver without insurance, the coverages below can protect against a totaled vehicle on YOUR insurance policy:
1. Comprehensive: Protects your vehicle against things out of your control. If your car is totaled after a fire, weather-related event or collision with an animal, comprehensive coverage will pay you the value of your vehicle, minus any deductible. Comprehensive can also pay you the vehicle’s value, minus your deductible, if your car is stolen and then recovered but too badly damaged to repair.
2. Collision: If your car is totaled after colliding with a vehicle, tree, guardrail, or any other object, collision coveragepays for the value of the damaged vehicle, regardless of fault and minus any deductible.
3. Uninsured motorist property damage (UMPD) and nduerinsured motorist property damage (UIMPD): UMPD/UIMPD applies when a driver with no insurance or not enough coverage is at-fault in an accident that totaled your vehicle. UMPD/UIMPD may be beneficial if you don’t have collision coverage and can cover your vehicle up to a specified dollar amount on your policy, instead of the vehicle’s value. The availability of UMPD/UIMPD varies by state and a deductible may apply.
Please note that in certain situations, UMPD/UIMPD may not offer enough coverage to pay the value of your vehicle. For example, if the UMPD limit on your policy is $25,000 and your car is valued at $35,000, you’ll be $10,000 short. To avoid this situation, it’s a good idea to carry collision coverage if your vehicle’s value exceeds the limit of your UMPD/UIMPD coverage.