The two types of physical damage coverage available in auto insurance policies are comprehensive and collision. Physical damage is a general term for a group of insurance coverages that protect your vehicle. This general term includes collision insurance, as well as the comprehensive insurance you choose or the more limited insurance against fire and theft with combined additional coverage (CAC). Physical damage coverage insures your vehicles against a variety of damages, such as collisions, vandalism, fire and theft.
Lenders often require this type of auto insurance for leases and loans. Physical damage insurance refers to a series of insurance coverages designed to protect a vehicle. Generally speaking, physical damage includes both collision coverage and comprehensive coverage. The first insurance covers damage to your vehicle resulting from accidents, including rollovers and collisions with other objects.
In addition, it is divided into two subcategories, including collision insurance and comprehensive coverage. Therefore, physical damage is a general term for collision coverage and comprehensive coverage. Contact the experts at Pro Insurance Group to learn more about physical damage insurance coverage for your vehicle. For example, if you do business in an area prone to theft and vandalism but are unlikely to suffer damage from fire or hail, you can insure your vehicles against theft and vandalism specifically to reduce insurance premiums, rather than a comprehensive policy that covers a multitude of risks.
Property damage liability insurance is part of an auto insurance policy and generally covers the cost of repairs if you're at fault for a car accident that damages another vehicle or property.