Liability insurance is a policy that offers protection to businesses and individuals from risk that they may be held legally or sued for negligence, malpractice or injury. This insurance policy protects the insured from legal payouts and costs for which the policyholder is deemed to be responsible.

Collision car insurance covers your car against accidental collisions, either with another vehicle or even with fixed structures. It will also cover you if another car rams into your car while it’s parked.

Comprehensive insurance is insurance coverage that pays for the repair or replacement. Comprehensive car insurance typically covers third-party liabilities, damage from an accident, fire, natural calamity, theft, etc.

Personal injury protection (PIP), also known as “no-fault insurance,” is a component of an automobile insurance plan that covers the healthcare expenses associated with a car accident. PIP covers medical expenses for both injured policyholders and passengers, even if some don’t have health insurance.

Uninsured motorist insurance protects you if you’re in an accident with an at-fault driver who doesn’t carry liability insurance. Underinsured motorist coverage steps in when you’re in an accident with an at-fault driver whose liability limits are too low to cover the medical expenses of any injured people.

Medical payments coverage is part of an auto insurance policy. It may help pay your or your passengers’ medical expenses if you’re injured in a car accident, regardless of who caused the accident.