If you are at fault for an accident, your state required liability insurance will cover the damage you caused to other vehicles or fixed property, up to your liability limit. However, in order for your car to be covered, you must purchase collision insurance coverage as part of your auto insurance policy.
Similar to comprehensive coverage, if you have a loan or lease on your vehicle, you are likely contractually obligated to carry both comprehensive and collision insurance. Additionally, those that do not have a lease or loan active on the vehicle may decide to purchase collision coverage to help with the cost of repair or replacement in the event of an unexpected loss.
Even if you consider yourself a safe driver and believe the chance of being at fault for an accident is small; you may still benefit from this added coverage. Fault in an accident is not always clear cut and depending on the laws in your state; you may be responsible to pay for part or all of the costs to repair your vehicle. If you are not in a position to do that or replace your vehicle, collision insurance coverage remains a great option.
What Is Collision Coverage?
Collision insurance is an optional coverage; often purchased with comprehensive coverage. It will help cover the cost of repairs if your vehicle is involved in a collision; less than the deductible you select at purchase.