Understanding your Insurance Coverage

Liability Coverage:

Car insurance can easily be thought of as a two part policy…the first and most important portion being your liability coverage. This portion of an auto insurance policy is mandatory and will be your most valuable protection in the event that you are involved in an accident.

Bodily Injury and Property Liability Limits:

Should you cause any sort of bodily injury or property damage to others, this will cover the expense of your legal liabilities. There are several different options when choosing your bodily injury liability limits, which is why we are here to help you make an educated decision on what coverage will best suit your situation. As stated, this will protect you from a law suit involving injury in an auto accident, and it will also pay for any damages that you cause to other vehicles, structures, signs, or any other physical object.

Uninsured/Underinsured Motorists Coverage:

Auto accidents are a part of everyday life. As a matter of fact there are 12,501 injuries from auto accidents occurring in the United States each and every day. In each of these accidents the blame is placed on one of the drivers involved, and often times one of the drivers involved is not adequately protected. This portion of your car insurance policy will protect you as a driver should you be involved in an accident that is not your fault, and the person responsible for the accident is not carrying enough coverage to fully reimburse you for your damages sustained.

Personal Injury Protection/Medical Payments:

This is a variable coverage that is dependent upon the state that you reside in. In the state of Minnesota this coverage is mandated by the government and is required on all car insurance policies. You may have heard it referred to as PIP protection or no fault accident insurance. As no fault accident insurance, this coverage will provide for $20,000 for medical expenses as well as $20,000 for economic losses should you or any passengers in your vehicle be injured in an auto accident regardless of fault.

In the state of Wisconsin this portion of your policy is optionable and allows for you to choose the limits to set for your specific situation. Again this portion will cover your medical expenses should you be involved in an accident, but it is not mandated by the state and allows for some flexibility on the insured’s side.


Physical Damage Coverage:

Your vehicle is a very important part of your lifestyle and can often be seen as your second most valuable asset next to your home. The second portion of your car insurance policy will provide for physical damage coverage to your vehicle so that you will be reimbursed for the value of the vehicle. This coverage is optional and is set up on a deductible factor providing for two different types of coverage: Collision and Comprehensive.

Collision Coverage:

This coverage protects you very simply from any collision damage that is done to your vehicle. If you are at fault in an accident and cause damage to your own vehicle, the collision portion of your car insurance policy will cover the repair your vehicle subject to your deductible that you establish.

Comprehensive Coverage:

Comprehensive coverage can be understood as covering any physical damage to your vehicle that is not directly your fault. This coverage will pay for damages done to your car from a number of things including, but not limited to: fire, theft, vandalism, glass breakage, hail, falling objects, collision with live animals, etc.

Rental Reimbursement Coverage:

Should your auto be involved in a comprehensive or collision claim and be out of service for more than 24 hours, this optional coverage will pay for you to rent a vehicle, set to specific limits, while your auto is being repaired.

Towing and Labor Coverage:

During a breakdown or an accident we are often very disoriented and confused as to where to turn. This portion of your insurance policy will provide for a specified amount of coverage for towing and labor (excluding parts) costs while broken down on the side of the road, so that you can get right.