If you damage your car in an accident, having Chubb car insurance collision coverage can help pay for the repairs
Understanding your insurance policy is very important. You need to be aware of what your insurance will cover in the event of an accident. Your Chubb car insurance collision coverage can vary depending on your coverage limits; however, understanding the basics will give you a general idea of how your insurance policy actually works.
How collision coverage works
Collision coverage will fix or replace your vehicle in the event of a collision, regardless of who is at fault. Your Chubb car insurance collision coverage limits will dictate how much money your insurance provider will pay. However, before your insurance pays for your car accident repair expenses, you will need to pay your deductible. The deductible is the amount of money you agree to pay in the event of an accident before your insurance company will pay the rest. The larger the deductible you agree to pay, the lower your insurance premium will be. It is wise to select the largest deductible you can possibly afford, in order to make your insurance payments as low as possible.
How much collision coverage should you get?
If you have a $500 deductible and $100,000 in collision coverage and you get in an accident and require $6,000 for car accident repair expenses, Chubb will pay $5,500 towards your repairs once you pay the $500 deductible. When choosing the limit for your Chubb car insurance collision coverage, it is likely best to select a limit that is higher than the value of your car. This way, if your car is severely damaged or even totaled, you will be reimbursed for the full value minus your deductible.
Flexibility in repairs
Chubb's auto insurance allows you to go to the repair shop of your choice and will pay for installation of original equipment manufacturer (OEM) parts. They also present you with an agreed value of your vehicle when you start a policy; this way you will know the exact settlement amount if your car is totaled. This can prevent a nasty surprise where an insurance company gives you less for your vehicle than you thought it was worth.
Should you get this option?
While no state is going to require that you have collision coverage in place as a condition of keeping a valid license, there are situations that may require you to carry collision. If you have taken out a loan to purchase a car or if you are leasing a vehicle, odds are good that you will need to have collision coverage with your car insurance policy. Most car loans and leases have terms and conditions requiring you to carry collision, comprehensive, or both coverage options as a way to protect the interests of the lender/lessee until you own the car outright or retire the lease. If you're not required to carry collision and wonder if it's a coverage option you should be carrying, you can make a fairly simple calucation to determine this. If the added premium you will pay for the collision coverage over the expected life of the car, plus the deductible you select is greater than the market value of your car, you will need to seriously weigh this option as it might not be worth it in the long run.
To know for sure if an option like Chubb car insurance collision coverage is something you need, it mighht help if you get the advice of a local, licensed car insurance agent. An agent will be able to answer all your questions and can even show you some sample policy packages with a variety of coverage and cost options. Reply! can help by putting you in touch with car insurance agents near you eager to help you get all the car insurance coverage you need.