Personal Auto insurance

Choosing a Personal Auto insurance policy these days can feel like a balancing act. Should you choose a low-cost policy with reduced coverage or a high-priced policy with broader coverage?


Commercial Auto Customer can be:

Drivers may choose from several types of automobile insurance policies, each offering different benefits. In all states except New Hampshire, some level of auto insurance is required in order to legally operate a motor vehicle. The minimum coverage in most places – referred to as PLPD, for personal liability and property damage – is designed more as a protection for others than for the policyholder and will pay if you harm someone or damage something while driving the covered vehicle. In some states, PLPD insurance includes personal injury protection, which protects you by covering your medical expenses if you are injured while driving the covered vehicle.

Other types of policies expand your coverage to cover other situations. Collision insurance protects you by repairing or replacing your car if you get into a wreck. Comprehensive policies cover other damages, such as if someone vandalizes it or if a window breaks in a hailstorm.

Your auto insurance is a collection of different policies that cover you in different ways. Here's how they break down:

  • Liability coverage – These policies help cover liability and expenses when you're at fault in and accident. The money will go to the people you hit, but it won't cover the people in your car.
  • Bodily Injury Liability (BIL) – This policy pays for the medical expenses of people injured in a crash in which you're at fault. You'll often see BIL policies described as a "20/50" policy or a "100/300" policy. These numbers describe the maximum dollar amount the policy will pay for a single person's injuries and the maximum for all the injuries sustained by all the occupants of the other car. For example, a 20/50 policy will pay a maximum of $20,000 for a single person's injuries, and up to $50,000 total for the injuries of everyone in the car you hit.
  • Property Damage Liability – This policy pays for damage done to the other car if you're at fault in an accident. Property liability is sometimes referred to alongside BIL as a third number, so a 20/50/10 liability package will cover up to $10,000 for damages to the other car.

The following policies cover you and your car in an accident:

  • Personal Injury Protection (PIP) – This covers your and your passengers' medical expenses after an accident. If you lose time at work because of your injuries, this policy may also cover lost wages.
  • Uninsured/Underinsured Motorist Coverage – This helps cover costs if you are hit by someone without insurance, or minimal coverage.
  • Collision – This policy covers repairs to your car after an accident.
  • Comprehensive – This policy covers costs if your car is stolen or damaged outside of an accident.