Automobile Insurance: Auto Coverage Guide

Description: Coverage for the cost of a rental vehicle or other modes of transportation in the event an insured's vehicle is undriveable due to a covered cause of loss. Coverage is subject to a daily and aggregate (30 days) limit. Coverage is provided to every vehicle with at least COMP coverage.

Example: On your way to work, you hit a deer, which causes $5,000 worth of damage. It's estimated that the repairs will take 5 days, but you still need to get to work, run errands, and get the kids to practice! Luckily, with transportation expense coverage, we will pay for the rental cost of a vehicle for you to use for up to 30 days after a repairable accident. Our new base coverage of $40 per day/$1,200 for the month, will more adequately cover the cost of a rental vehicle of your choice. This updated coverage will help limit out-of-pocket expenses for you as you wait for your vehicle to be repaired.

Description: In the event of a total loss, we will pay the cost of the new model year equivalent of the same or comparable vehicle, subject to 120% of the MSRP of the vehicle totaled. Coverage is afforded for vehicles less than 3 years old.

Example: An insured's 2022 Chevy Silverado is deemed a total loss in an accident. The insured's vehicle has an ACV of $40,000 and an MSRP of $50,000. The cost of a new model year of the vehicle is $55,000. Without New Car Replacement, the insured would be getting a settlement check of $39,500 (assuming a $500 deductible). With New Car Replacement coverage, the settlement check will be $54,500 ($500 deductible) since the $55,000 new model year cost is less than 120% of the totaled vehicle's MSRP ($60,000).

Description: This coverage will pay for the repair cost using OEM parts (if available). Glass losses are excluded. Coverage is afforded for vehicles less than 10 years old. A vehicle must have a least COMP coverage to be eligible. Different rates are utilized for COLL and COMP coverage.

Example: An insured's agent just added OEM coverage on their 2022 BMW 530i. The insured hits a deer unfortunately causing $5,000 worth of damage. Since the insured has OEM coverage, the adjuster changes the repair estimate to include OEM parts when applicable instead of aftermarket parts. Now, the insured's shop of choice repairs the BMW for $7,000 as the OEM parts added increased the repair cost.

Description: This product provides coverage for personal belongings damaged in an insured's vehicle as a result of a covered cause of loss. No deductible applies. This would include cell phones, laptops, musical instruments, etc. Coverage will be secondary to any existing coverage on items damaged. Base coverage (afforded to all vehicles with a least COMP coverage) is $100, and optional limits of $1,000 and $2,000 are available for purchase.

Example: An insured is moving out of their parent's house and is on their way to their new apartment. They loaded up their SUV with items from their parent's house, including their $500 acoustic guitar. The insured ends up in a 4-car pile-up on the highway and their guitar was severely damaged after some heavy boxes fell on it. The insured has COMP coverage, but doesn't have the additional Personal Articles limits. Therefore, $100 of coverage would be afforded to them for the damage to their guitar.

(also known as "No Fault Insurance")
New York State Law requires this insurance. The minimum requirement is $50,000 to pay for medical expenses, loss of income, and other miscellaneous expenses regardless of fault. This coverage provides the following benefits.

• medical expenses - covers your various medical expenses
• loss of income - a maximum of $2,000 a month or 80% of your current monthly income (which ever is less)
• other expenses - $25 a day for reasonable expenses
• death benefit - $2,000

In a recent ruling by New York State, maximum loss of income received from no-fault was increased from $1,000 to $2,000 a month for 36 months. However, with a $50,000 limit, coverage may be used well before the 36 months. This is where OBEL comes in to help you out. This coverage provides an extra amount on top of the no-fault limit.

Required by law, bodily injury protects you if you are responsible for an accident in which someone is injured or killed. The minimum requirement is $25,000/$50,000, which means that the insurance company will only pay up to $25,000 per person injured and up to $50,000 per accident. So if there is more than one person injured, the most you are covered for is $50,000.

Required by law, property damage covers the damage your vehicle causes to someone else's property, such as your car running into someone's house or car. The minimum requirement is $10,000, which means that the insurance company will only pay up to $10,000 for damage your vehicle does to someone else's property.

Uninsured motorist coverage pays for injuries sustained by you and your passengers caused by an uninsured motorist. Underinsured motorist coverage pays when you or your passengers are injured as a result of negligence by someone with insufficient liability insurance to cover your losses. In New York State, you are required to carry at least statutory uninsured motorist with limits of $25,000 per person and $50,000 per accident for those accidents that occur WITHIN New York State. If you ever travel out of state, you should consider supplementary uninsured motorist coverage. This provides the same limits as statutory uninsured motorist, but it extends coverage to accidents that occur outside of New York State.

Uninsured motorist coverage pays for injuries sustained by you and your passengers caused by an uninsured motorist. Underinsured motorist coverage pays when you or your passengers are injured as a result of negligence by someone with insufficient liability insurance to cover your losses. In New York State, you are required to carry at least statutory uninsured motorist with limits of $25,000 per person and $50,000 per accident for those accidents that occur WITHIN New York State. If you ever travel out of state, you should consider supplementary uninsured motorist coverage. This provides the same limits as statutory uninsured motorist, but it extends coverage to accidents that occur outside of New York State.

Medical payments insurance is coverage that reimburses you and your passengers (whether or not they are members of your family) for medical or funeral expenses stemming from an accident, regardless of who was responsible for the accident.

Collision coverage reimburses you for damage to your own car resulting from impact with another car or an object, such as a house. This coverage is usually written with a $250 deductible, but may be higher or lower depending on your specific needs.

This coverage reimburses you for damage to your auto not caused by a collision. Such losses include theft, hail, vandalism, or hitting an animal.