What is Comprehensive Coverage (formerly known as Other-Than-Collision)?
If you want complete peace of mind for your vehicle's physical well-being while driving out on these streets then the last piece of the puzzle you're looking for is Comprehensive Coverage. It'll cover loss/damages from natural disasters, theft, small-to-medium objects, and animals (people don't count, that's collision). One of the most common uses, that people often think is covered under collision, is for cracked or broken windshields.
Do I Need Comprehensive Coverage?
It's usually significantly cheaper than Collision because it covers less likely risks, so whether or not you want to carry Comprehensive depends on a couple questions:
- Is your car expensive? If your ride's a few thousands dollars in "Actual Cash Value", then the deductible probably doesn't make Comprehensive worth it.
- Do you drive dark roads with lots of deers and trees? If you've seen the stereotypical "deer-in-headlights" driving scene from movies with your own eyes then yes, probably worth getting it. Similarly, if you live on windy roads on hills or through forests, probably a good one to get.
- Do you live in a place with fires, earthquake or flooding? No? Are you sure?
- Do you park your car in an area with known theft? Between window smashing, catalytic converters, and straight up grand theft, there can be a lot of crime to cover.
How Does the Deductible Work?
Comprehensive covers up to the Actual Cash Value of your car after a chosen deductible ($250-$1000). The deductible is the component you adjust to determine how you want to use Comprehensive. The higher your deductible, the lower your premium, but also the fewer the claims that make financial sense to make.
If you only plan on or expect to make a claim for big repairs or full losses, then a high deductible of $1000 is the way to go. This is also how we recommend using Comprehensive and insurance more generally - cover your most disastrous outcomes and self-insure (pay-out-of-pocket) for the slightly bad outcomes.
