Auto Insurance
Definition
Insurance coverage for motor vehicles that typically includes liability (for injuries and damage you cause to others), collision (damage to your car from impacts), comprehensive (damage from non-collision events), uninsured motorist, and medical payments coverage. Every state requires some form of auto insurance or financial responsibility.
When This Matters
Your auto policy includes $100,000/$300,000 bodily injury liability, $50,000 property damage liability, collision with a $500 deductible, and comprehensive with a $250 deductible.
Related Terms
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