McKayla Girardin, Car Insurance Writer
@mckayla_girardin
Comprehensive insurance works by helping to cover costs related to vehicle damage from unavoidable events, such as floods, fires or vandalism. Comprehensive insurance is never required by state law, but it is often needed for cars that are leased or financed.
Key Things to Know About How Comprehensive Insurance Works
- Comprehensive insurance is normally purchased with collision insurance.
- Comprehensive insurance is often included as a part of full coverage insurance.
- Comprehensive insurance almost always has a deductible ranging from $100 to $1,000.
- Lenders and lessors often require comprehensive insurance on financed cars.
- Comprehensive insurance costs an average of $162 annually, on top of the cost of state-required coverage.
- Comprehensive insurance is sometimes called “other-than-collision coverage” and is said to cover “acts of god” or unavoidable events.
- Comprehensive insurance covers damage caused by things like animals, falling trees, wildfires, flooding and vandalism.
To learn more, check out WalletHub’s guide to comprehensive insurance.
People also ask
What does comprehensive insurance cover?
Comprehensive insurance covers damage to your car caused by events other than collisions with other vehicles or stationary objects. For example, comprehensive insurance helps pay for damage from vandalism, natural disasters, fire, and theft, but it does not cover vehicle repairs after hitting a car.
What Comprehensive Insurance Covers
- Theft
- Vandalism
- Floods
- Fires (not related to a collision)
- Natural disasters
- Animal damage (including hitting a deer or...
Does a comprehensive claim affect insurance rates?
Yes, comprehensive claims affect insurance in most states, though the rate increase is usually small because comprehensive claims are not related to the policyholder's driving. Insurance companies generally raise rates after comprehensive claims in order to recoup the cost of the claim.
However, it's worth noting that insurance companies in California and Oklahoma are not allowed to raise premiums for a not-at-fault claim. Insurance companies react differently to claims, too, so whether your rate...
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