Reader’s Question:

I got an insurance policy. The insurance firm sent me a bunch of documents that I haven’t even read. Are these important?

Jordan

Memphis, TN

Car ins urance is a vital tool needed by any drivers. Having one assures the driver that in any case of accident, he/she is protected. Unfortunately, although many people have car insurances, they don’t pay much attention to what their insurance policies. This shouldn’t be the case, as a driver you should know what your insurance can do for you.

There are various aspects that people should understand about their car ins urance. Here are some of the terms indicated in a vehicle insurance policy.

Coverage

Coverage is simply the benefits included in you car ins urance policies. These could be the medical benefit, liability benefit, collision protection, personal injury benefit and many more. Coverage varies depending on what kind of car insurance you have.

Exclusions

Exclusions are certain conditions when your car insurance companies wouldn’t pay your claims if you got on an accident in such under such circumstances. Example of this is being on an accident while you are under the influence of drugs or alcohol. This could also be written in your policy fine print as “terms and condition”.

Many people don’t spend enough time understanding their car insurance policies which shouldn’t be the case. It is both your right and responsibility to understand you insurances as this are a vital part of being a driver.