Physical Damage Insurance

Who needs coverage for bodily damage?

Physical Damage insurance is recommended if you have a loan on your vehicle or if you wish to properly protect your vehicle.

  • In the event of a collision, collision insurance will protect you.
  • Except for a collision with another car or object, comprehensive insurance will cover practically anything.
  • Fire and Theft with CAC insurance is a sort of restricted Comprehensive insurance intended specifically for specific heavy vehicle types.

Physical Damage insurance is almost always necessary if your vehicle is rented. Physical Damage coverage is optional if your vehicle is completely paid for.

Deductibles and other details for physical damage coverage.

A deductible must be selected for Physical Damage insurance. When you have a claim, your deductible is the amount you agree to pay out of pocket.

A greater deductible is a simple approach to cut your insurance costs. Make sure that the deductible you set is one that you can afford to pay out of pocket at any time.

When you choose Physical Damage insurance, you must also provide a Stated Amount, which is your best assessment of your vehicle’s current value. The Stated Amount should account for your vehicle’s age and condition, as well as any permanently attached equipment.

Examples of physical damage covering

Example 1:

You’re driving down the road when you come across an ice patch. Your vehicle loses control and collides with a telephone pole.

Because this was an accident in which you impacted with another object, your collision insurance will cover the damage to your own vehicle.

If you choose a $500 deductible, you will be responsible for the first $500 of the cost of having your car fixed or replaced, depending on the degree of the damage. The remaining of the repair or replacement expenses would be covered by your Collision insurance, up to the Stated Amount you supplied.

Example 2:

One morning, you leave your residence and discover that your van has been stolen.

Because the loss was caused by something other than an accident, Comprehensive or Fire and Theft with CAC insurance would be applied.

If you choose a $500 deductible, you will be responsible for the first $500 of car replacement costs. The rest of the cost of replacing your car would be covered by your Comprehensive insurance or Fire and Theft with CAC insurance, up to the Stated Amount that you supplied.

Exclusions and limitations for physical damage coverage

If you want Collision insurance, you must also get Comprehensive or Fire and Theft with CAC coverage.

For seasonal businesses in several areas, Progressive offers Comprehensive or Fire and Theft with CAC insurance only coverage.