Importance of Physical Damage Insurance

Accidents are lurking around every corner. You may get cut off on the freeway or slip on some ice and crash. You may not even be driving your truck and someone purposefully vandalizes your truck for whatever reason. This is why physical damage insurance is vital for owner/operators. There are several factors that could put your truck out of commission, but physical damage insurance could help you get back on the road faster!

What is Physical Damage Insurance?

Physical damage insurance helps you be prepared for the unexpected. It provides protection to your vehicle if you find yourself experiencing loss or damage such as collision, vandalism, fire, or theft. This coverage encompasses two different types: collision and comprehensive.

When purchasing this insurance, you must set your deductible. Your deductible is the amount of money you, as the insured, will have to pay before an insurance company will pay out the claim. By choosing a higher deductible, you may pay a lower premium but make sure you can afford that deductible at any time in case an accident was to happen

Collision vs. Comprehension

Collision insurance is exactly what you would think. Your vehicle is covered if it is damaged during a collision. You are also protected if your vehicle overturns or rolls. With collision coverage, you will receive compensation to repair or replace the vehicle damaged in the accident.

Think of it this way, you are driving down the road when you slip up on some ice and run right into a light pole. Since you collided with another object, your collision insurance will cover you for the damages to your own vehicle.

On the other hand, comprehensive insurance applies to non-collision damages they may affect you and your vehicle. Non-collision damages could include: fire, flood, hail, windstorm, vandalism, theft, and more. Basically, most damages not caused by a collision are covered by comprehensive insurance.

For example, while stopped at your favorite on-the-road diner, a major storm builds in the area and blows a window out of the side of your truck. This damage is covered by comprehensive insurance.

To learn more about the difference, contact Bobtail Insurance Group today!

Who needs Physical Damage Coverage?

Depending on your current situation, you may be required to have physical damage insurance or it may be optional for you. If you still owe for a loan on your vehicle or just simply want to be completely protected, you should purchase physical damage insurance but it is not required. However, if you are leasing your vehicle, it is probably mandatory for you to have it.