This helps cover the cost of repairs if your vehicle is involved in a collision. In the event that you are involved in an accident, your collision coverage picks up the tab after you meet your deductible  The lower the deductible, the less you pay out of pocket if you are involved in a collision accident that is your fault. While collision insurance may not be mandated by your state, many lenders and leaseholders require this coverage to protect their interest in the vehicle.

Comprehensive covers “everything else”. This includes a collision with an animal, natural disasters (i.e. floods, tornadoes, hail), theft/vandalism, and fire. Another reason you may want to consider purchasing comprehensive car insurance is if you are leasing your vehicle or bought it using a loan. Like collision insurance, comprehensive insurance may not be required by your state. Lenders and leaseholders may also require comprehensive coverage to protect their interest in the vehicle just like collision coverage.