What is Comprehensive Coverage, and Why Do I need It?

Hey guys, Jason here with 303 Insurance Brokers, and I wanted to share a super important tip of the day with you guys if you’ve been paying attention to the news at all. I think I’ve talked about an insurance tip before, but auto theft is at an all-time high right now. Let’s talk about comprehensive coverage and why it is important.

Auto Theft Is At An All-time High In Colorado

So many vehicles are being stolen throughout the greater Denver Metro area, all makes and models. In some cases, older cars are easier to steal because they have less technology in them. I had somebody reach out to me, not a client of mine. Somebody was referred to me and recently had their car stolen, and they were very, very disappointed with how their insurance company was reacting to it.

What is Comprehensive Coverage

Upon having a quick conversation with them, we realized that they elected to carry liability only coverage on the vehicle. When you have liability-only coverage, there is no protection against auto theft. There is none of the insurance company going to do. To be covered for theft, you have to have comprehensive coverage. It’s going to cover your theft. It’s going to cover vandalism. It’s going to cover hail. It’s going to cover, you know, fire. It’s going to cover anything that’s not a collision. A collision is covered by collision. 

The Importance Of Comprehensive Coverage

It’s super important to understand not only if you have an older vehicle. Is comprehensive can it be less expensive, which is very true, but also, what’s your ability to replace the car if it were stolen, if it were damaged? If you don’t have that money to go out and buy a new car, it’s worth paying a little bit more for car insurance. So, unfortunately, it was a super hard lesson for this individual to learn.

I walk them through the steps there. You own your policies., even if an insurance agent sets up the policy for you, you have the final sign off. So it’s important to understand and review what you’re signing off. If you need any help with your insurance, understanding it, making sure you get the right programs, making sure it’s going to perform well in the event of a claim, reach out to me, Jason, with 303 Insurance brokers.