Car Collision Coverage in Kentucky

A typical car collision policy will go beyond your vehicle to include temporary vehicles that you own, cars not in use, and newly-acquired cars. The collision coverage is reasonably limited to the actual cash value of your car and will require a deductible to be paid before receiving your benefits. In instances where higher deductibles are required, your premium will be lowered, but the amount paid out of your pocket increases in case of a liability.

What will not be covered by Collision Policy?

Damages resulting from the following sources will not be covered by collision insurance: Vandalism, storms, natural disasters, being hit by animals, fire, hail, flood, falling objects, and theft. Such dangers can be insured by purchasing the comprehensive coverage.

Why you need Collision Coverage

Before purchasing collision coverage, you should figure out why you need it in the first place. Also, you should use available online resources such as Edmunds and Kelley Blue Book to estimate the value of your car to know the extra amount you will pay for collision coverage. After approximating the car’s value, you can easily make an informed decision in regards to whether you need collision coverage and how much you should pay for it. As per Sharp Insurance & Financial Services, which is based in Ashland, KY, it is wise to cover new and expensive cars, but as they get old, you can drop the coverage since the car’s value will have decreased significantly. 

Collision coverage is an important policy, especially if you are dealing with newly-acquired or vintage vehicles. With this policy, you will receive financial compensation if your vehicle is involved in a collision thus easing your financial burden. However, to ensure that this policy works in your favor, you should visit Sharp Insurance & Financial Services which is based in Ashland, KY. They will help you approximate your car’s worth and whether you need collision coverage.