Is Collision Coverage Optional?

The short answer is that collision coverage is optional… in some cases.

But if you lease or finance your car or truck, your lender will probably require you to have collision coverage.

A collision policy covers the cost of repairing or replacing your vehicle after you hit another object (other than an animal), like another vehicle, a barrier, or someone else’s property, or if you roll your car.

If you own your vehicle outright, meaning you don’t have a car payment, and your vehicle has a low replacement value, you could choose not to have collision coverage. But remember, that means you won’t be reimbursed for damage to the vehicle in case of an accident.

It’s important to know that if you’re shopping for a new car, you’ll need to have collision coverage on your policy to drive your new vehicle off the lot.

Want to know more about auto insurance? Contact Kelly Miller Insurance Associates at (916) 652-3100 or email info@kellymillerinsurance.com.