What is Auto Insurance?


Auto insurance is a contract between you and the insurance company that protects you against financial loss in the event of an accident or theft12. It is a protection you must purchase if you own a car or other vehicle3. Car insurance may protect you from having to pay to repair your car or other vehicle after an accident, and liability claims if you’re responsible for an accident causing damage3. Auto insurance can offer coverage for vehicle damages, including your car or another driver's vehicle.

Liability- Helps pay for bodily injury for which you are legally liable. This means that your actions caused injury to another person and you were found legally responsible for those injuries.
Uninsured Motorist- Uninsured motorist insurance spares you from shelling out your own money for injuries or property damage from crashes you didn’t cause. Some states require this coverage, although it is available to most U.S. drivers. And it usually doesn’t cost much to add to your auto policy.

Uninsured motorist bodily injury, or UMBI, pays for medical bills, pain and suffering, lost wages if you can’t work after an accident and funeral expenses after a crash with an at-fault driver who doesn’t have car insurance. It may also cover you if an uninsured driver hits you as a pedestrian or while riding your bike.

Uninsured motorist property damage, or UMPD, pays for damage to your car or property after an accident with an at-fault driver with no car insurance. If you live in a state that requires a deductible for this type of coverage, you are responsible for paying a certain amount of a claim and then your insurance will cover the rest (up to your policy limit)

Underinsured Motorist is the type of car insurance coverage that pays if the driver responsible for an accident doesn’t have sufficient insurance to cover your injuries or vehicle damage

Med Payments Medical payments coverage, also known as MedPay, is an optional car insurance coverage type that pays for your and your passengers’ medical bills and other types of expenses, no matter who was at fault for the accident1234. It is part of an auto insurance policy and is usually optional3. This coverage is not available in every state1. Med Pay can be used regardless of fault for accident-related medical treatment2

Comprehensive Comprehensive coverage is a type of auto insurance coverage that protects your vehicle against unexpected damage that's not caused by a vehicle collision12345. Comprehensive coverage covers losses like theft, vandalism, hail, and hitting an animal1. Comprehensive coverage is also known as "other than collision" coverage3. It typically covers damage from fire, vandalism or falling objects like a tree or hail3. Comprehensive coverage is an optional coverage that can be added for full coverage on your vehicle4.

Collision- Collision coverage is an optional insurance coverage that helps pay to repair or replace your vehicle if it’s damaged in a crash with another car or a fixed object123. It covers damages to your car caused by an impact with another car or object2. It helps pay for the cost of repairs to your vehicle if it's hit by another vehicle, and may also help with the cost of repairs if you hit another vehicle or object3. It is usually required by lenders if you carry an auto loan or lease1

How Are Auto Insurance Rates Calculated?

Auto insurance rates are calculated based on a large variety of factors including Age, sex, Driving history, prior coverage, Driving History, claims, Credit score, garaging Location, Vehicle characteristics, Household members.

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Comprehensive Vehicle Coverage

At Citywide Insurance and Real Estate, we understand that your vehicle is more than just transportation—it's a crucial part of your daily life. Our auto insurance policies are designed to provide you with the coverage you need, whether you're looking for basic liability protection or comprehensive coverage. With access to multiple carriers, we offer a variety of options tailored to fit your driving habits and budget.

Drive with Confidence

Connect with us today, our experts will help guide you through every step of the process, from selecting the right coverage to assisting with claims, so you can focus on what matters most: enjoying the ride.

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