Understanding the Different Types of Auto Insurance

Understanding your auto insurance options is the first step toward financial protection. In this guide, Primo Tax & Insurance breaks down the main types of auto coverage every Texas driver should know about.

Key Types of Auto Coverage in Texas

Primo Tax & Insurance can tailor your auto policy to your specific needs and preferences. Our agents may recommend the following:

• Liability coverage is required by law in Texas. It may help pay for injuries or property damage you cause to others in an accident. There are two main parts:
• Bodily injury liability may cover medical expenses for others if you’re at fault.
• Property damage liability may pay for damage to another person’s property.
• Collision coverage may help pay for repairs to your own vehicle after an accident, regardless of who was at fault.
• Comprehensive coverage may financially protect your vehicle from noncollision events, such as theft, vandalism, fire or severe weather-related damage.
• Uninsured/underinsured motorist coverage may reimburse your expenses if you’re involved in an accident caused by a driver with little or no insurance. It can cover medical bills, lost wages and vehicle repairs.
• Personal injury protection may cover medical bills for you and your passengers after an accident, regardless of fault. It may also help with lost income and other related costs.

Common Auto Insurance Endorsements

Optional add-ons can help close coverage gaps and further tailor your policy to your needs and lifestyle. Examples include:

• Rental reimbursement coverage may help cover the cost of a rental car while your vehicle is being repaired after a covered claim.
• Roadside assistance coverage may provide for services such as towing, battery jump-starts, flat tire changes and lockout assistance.
• Gap insurance, also known as guaranteed asset protection insurance, may help pay the difference between what you owe on your vehicle loan or lease and its actual cash value if it’s totaled.
• New car replacement coverage may cover the cost of replacing your vehicle with a new one of similar make and model if your car is declared a total loss.
• Custom parts and equipment coverage may help pay to repair or replace aftermarket additions such as custom wheels, sound systems or other modifications.

We’re Here to Help

If you’re ready to review your Texas auto insurance, reach out to Primo Tax & Insurance. Our team can discuss your options and recommend suitable policies. Contact us today to get started.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.