Bodily Injury Liability Coverage: Bodily injury liability coverage pays for injuries or deaths to anyone other than the insured driver in an accident. This includes legal defense costs if the policyholder finds themselves the subject of a lawsuit in connection with an accident.
Comprehensive Coverage: Comprehensive coverage is coverage for your car that extends to damage done from an event other than a collision, most often in the form of damage from vandalism, theft, and inclement weather.
Collision Coverage: Collision coverage comes into play when your insured vehicle collides with another object or overturns. Collision coverage might also apply to a rental car or other non-owned vehicle.
Full Coverage: Full coverage usually refers to having more than just liability insurance on a vehicle. Though not a legitimate term, full coverage generally means that insurance policies also contain collision and comprehensive coverage.
Gap Insurance: Gap insurance is the same thing as Loan/Lease Payoff Coverage. It comes in handy if the insurance adjuster determines your vehicle as a total loss in an accident. As a result of depreciation in your car's value from the time you bought it, you might end up owing more on the car than you receive from the insurance company as a payout. Gap insurance makes up for this difference.
Liability Coverage: Liability coverage is the minimum coverage type in most states. Liability covers the other car or person involved in an accident, reimbursing them for any injuries or damages sustained, up to a certain listed amount.
Loan/Lease Payoff Coverage: Also called gap insurance, payoff coverage pays the difference between what you owe and the amount your car insurance pays when declaring your vehicle a total loss, or when it is stolen and not recovered.
Medical Payments (MedPay)/Personal Injury Protection Coverage: This is an optional insurance coverage that pays medical and funeral expenses considered reasonable and necessary. The injury or death must happen in conjunction with a car accident.
Personal Injury Protection Coverage: Personal Injury Protection (PIP) coverage represents the most basic coverage in states that utilize the no-fault insurance model. PIP coverage pays medical, hospital, and funeral expenses for all involved in a car accident, within specific limits.
Property Damage Liability Coverage: Insurance coverage that pays for damages to the property for others involved in an accident besides the driver. It also pays for court costs if you are sued for damages suffered in an accident.
Rental Reimbursement Coverage: Rental reimbursement coverage details the amount you can spend on a rental car if you lose the use of your vehicle due to an accident. A limited amount, this coverage usually goes along with comprehensive and collision coverage.
Roadside Assistance Coverage: This coverage pays for towing, jump-starts, locksmith services, and other services as a part of your car insurance policy.
Uninsured Motorist Coverage: Uninsured motorist coverage covers an accident if the other driver does not have insurance, up to a certain limit.
Underinsured Motorist Coverage: Underinsured motorist coverage provides supplemental insurance in instances where the other driver does not carry enough insurance to cover damage, injury, or death suffered in a car accident.
Uninsured/Underinsured Motorist Property Damage Coverage: Like uninsured and underinsured insurance for damage to persons, property damage insurance covers property damage in cases where the other driver does not have insurance or carries limited personal property coverage.