Car In Storage? Don’t Cancel Your Auto Insurance!

Your Auto Insurance and the “Hit and Run”

If your car was hit by someone and they do the legal/right thing by admitting it and paying for it, all is well. The “at fault” driver’s insurance will cover it under their property damage portion of their insurance for your car to be fixed. In the case that someone hits your beautiful new car while you are in the store and drives away, what do you do?

Car In Storage? Don’t Cancel Your Auto Insurance!

At Fault – If You Caused an Auto Accident

The responsibility of who pays what in Nevada is contingent on who’s at-fault in an auto accident. All drivers in Nevada have an obligation to drive their automobiles safely to reduce any risks of potential accidents. In Nevada, if you are the at-fault driver (the person that caused the accident), then you are responsible to “make whole” the individual or property you hit.

Car In Storage? Don’t Cancel Your Auto Insurance!

Term Life Insurance vs. Whole Life Insurance

Term life insurance policies will often have terms of one year to 30 years. Typically, the monthly premium (monthly payment) stays the same throughout the term of the policy. Whole life insurance provides coverage your whole life and it includes something called “cash value”. Think of it like a mini savings account attached to the policy.

Car In Storage? Don’t Cancel Your Auto Insurance!

What is Subrogation?

Even if it’s been determined that you definitely are not responsible for the accident, you can file a claim under your own comprehensive coverage and pay your deductible. Then, because it’s the financial responsibility of the at-fault driver and their insurer to get you back to pre-accident condition, your insurance company would use subrogation to file a claim with the other insurance company. This will allow them to get back any money paid out for repairs, including your deductible.

Car In Storage? Don’t Cancel Your Auto Insurance!

What Does the Term Betterment Mean in Auto Insurance?

After an accident, it’s an insurance company’s job to pay for any repairs necessary for getting your vehicle back to pre-accident condition. But what happens if an old tire is damaged during an accident? For safety reasons, your auto insurance company would pay for a new tire to be put on your vehicle.