What Does Comprehensive Insurance Cover?

What Does Comprehensive Insurance Cover?

When you’re shopping for that perfect new car in Brampton, you’re sure to have a lot of questions surrounding your various finance and insurance options. One common question for shoppers to ask is, “What does comprehensive insurance cover?” Comprehensive insurance coverage is designed to protect your new Caledon vehicle against damage not caused by a collision. In the unfortunate event of theft or vandalization of your vehicle, or if it is damaged by a fallen tree branch or some other fallen object, comprehensive insurance coverage would help pay for the damage. We’ll take a closer look at what’s covered, as well as a brief look at what’s not covered by comprehensive auto insurance, below.

Comprehensive Insurance Coverage: What’s Covered vs. What’s Not Covered

We talked a bit about what does comprehensive auto insurance cover up above, but it’s helpful for Orangeville drivers to also know what comprehensive insurance does not cover when they’re determining whether to pay extra for this coverage.

What’s Covered

  • Theft
  • Vandalism
  • Fire
  • Natural disasters
  • Falling objects
  • Damage to a car caused by animals

What’s Not Covered

  • Damage to your car caused by a collision
  • Damage to another driver’s vehicle caused by a collision
  • Medical expenses following an accident

What is a Comprehensive Coverage Deductible?

If you opt into comprehensive insurance coverage, you will need to choose a deductible. What is a comprehensive coverage deductible? It is a set amount of money you would need to pay out of pocket toward a covered claim in Georgetown. For example, if you have a $500 deductible and your repair cost is $3,000, you would pay the $500 deductible and your insurance company would cover the remaining $2,500.

Should I Get Comprehensive Insurance Coverage?

When determining whether the added monthly costs of comprehensive insurance coverage is worth it, ask yourself these questions:

  • Is it required by your lender? When financing a car with an auto loan, some lenders might require you to have comprehensive insurance coverage until you pay off the loan.
  • What is your car’s value? Get an estimate of what your car is currently worth. If your vehicle were lost, stolen, or damaged, could you afford to pay that amount to replace or repair it? If you wouldn’t be able to afford much out of pocket, comprehensive coverage might be worth having.
  • How much is the annual premium? Take the amount you would pay over the course of one year for comprehensive insurance coverage, and multiply that number by 10. If your vehicle is worth less than that number, then comprehensive coverage might not be a good investment.

Talk to Mercedes-Benz Brampton to Learn More

Still having trouble determining whether comprehensive coverage is right for you? Contact Mercedes-Benz Brampton to be put in touch with our finance centre. A friendly member of our team will be happy to learn more about your unique circumstances and help guide you toward a smart financial decision. Want to explore more auto insurance options? Explore our features on gap insurance and whether it is worth purchasing.


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Photo for illustrative purposes only.

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