How do I decide if I need collision or comprehensive coverage?

Deciding whether to purchase collision or comprehensive coverage depends on a few factors:

  1. Your car's value: Collision coverage pays for damages to your car caused by a collision with another vehicle or object, while comprehensive coverage pays for damages caused by non-collision events such as theft, vandalism, or natural disasters. If your car is worth a significant amount of money, it may be worth purchasing both types of coverage to protect your investment.
  2. Your driving habits: If you frequently drive in areas with high rates of car theft or vandalism, comprehensive coverage may be worth considering. On the other hand, if you tend to drive more cautiously and have a low risk of collision, you may choose to forgo collision coverage.
  3. Your budget: Collision and comprehensive coverage tend to be more expensive than liability coverage, which is required by law in most states. If you have a tight budget, you may need to prioritize which types of coverage you purchase.

Ultimately, the decision to purchase collision or comprehensive coverage (or both) depends on your individual needs and circumstances. It may be helpful to speak with an insurance agent or do some research to determine what level of coverage is right for you.

Disclaimer: The questions and answers above are for educational purposes only. They are meant to provide the public with a general conceptual understanding of insurance and do not constitute advice or analysis. Some answers might be incomplete, outdated, and even not always accurate depending on the particular rules applicable to your state. Importantly, these questions and answers are generic and do not relate to any particular insurance product, including products available on the Waffle platform. If you have any questions about any of your own insurance products, always check the policy first and direct your questions to your insurance agent or the insurance company underwriting your policy.