What Is Comprehensive Car Insurance?
Personal Finance Insider writes about products, strategies, and tips to help you make smart decisions with your money. We may receive a small commission from our partners, like American Express, but our reporting and recommendations are always independent and objective. Comprehensive coverage replaces or repairs your car if it's stolen or damaged. If you lease or finance your car, your lender may require comprehensive coverage. Liability insurance is required by state law. Comprehensive coverage is in addition to liability insurance. Check out our partner Savvy  a free tool that lets you compare car insurance quotes in minutes   Unlike homeowners insurance, liability car insurance is required by state law. There are three main types of car insurance: comprehensive, collision, and liability. Full coverage is a combination of the three. Liability minimum coverage requirements vary by state, but if you finance or lease your car, your lender probably requires comprehensive and collision coverage. Comprehensive coverage replaces or repairs your vehicle if it's stolen or damaged. Comprehensive coverage typically covers damage from theft, fire, vandalism, or falling objects like a tree. However, it does not cover accidents, collisions, or liability for injuries. As previously mentioned, there are three main types of car insurance: liability, comprehensive, and collision. Full car coverage is a mixture of all three, offering complete coverage for your car that includes liability, collision, and comprehensive coverage. Comprehensive coverage does not include collision or liability coverage. Liability coverage is required by state law. Comprehensive coverage would be in addition to liability coverage. Car insurance companies consider your location, age, gender, and driving record to calculate rates for premiums. Other factors like credit score, marital status, vehicle type, previous coverage, and miles driven can all play a role in the amount you'll pay for coverage. To find the best option for you out of the car insurance quotes you've obtained, compare the coverage types, limits, and deductible, or the amount you'll pay out of pocket if you're involved in an accident. The policy with the lowest price for coverage, the most coverage types and limits, and the lowest deductible is the best one for you. The below table show how much liability, collision, and comprehensive coverage costs in each state. The average cost is what consumers ended up paying on average for insurance in that state. Remember, your average cost will vary based on the type of vehicle, your location, age, mileage, and driving record. If you lease or finance your car, most likely your lender will require comprehensive and collision coverage. If you bought a new car or a newer used car with cash, you should also consider comprehensive coverage. The newer the car, the more comprehensive coverage makes sense. If you have an old beater that you use to get around town, it may not make financial sense to pay to repair or replace a car that has little Kelley Blue Book value. Ronda Lee is an associate editor for insurance at Personal Finance Insider covering life, auto, homeowners, and renters insurance for consumers. She is also a licensed attorney who practiced litigation and insurance defense.