Just like most states, Pennsylvania requires its drivers to purchase and maintain certain minimum amounts of auto insurance coverage. The mandatory minimum coverage will protect drivers from any reasonable loss. However, there are other Pennsylvania auto insurance options that many drivers may decide best suits their needs.
The additional Pennsylvania auto insurance options are as follows:
Comprehensive Coverage
Comprehensive coverage is not required in Pennsylvania. However, it is required on any policy that has collision coverage. In addition, should you decide to purchase it, you must also purchase bodily injury (BI) coverage. If you have a financed or leased vehicle, your finance company most likely will require you to carry comprehensive coverage. If you own (not leased or financed) a newer vehicle or one that has significant monetary value, you might choose to purchase comprehensive coverage to cover the cost of replacing or repairing the vehicle in the case of an accident.
Here’s what comprehensive coverage protects against:
- Damage to a vehicle from falling objects, fire, certain natural disasters
- Damage to a vehicle from vandalism or theft
- Glass damage
- Damage from a collision with an animal
Collision Coverage
Collision coverage cannot be purchased without a policy that first includes comprehensive coverage. Again, if you have a financed or leased vehicle, your finance company most likely will require you to carry comprehensive coverage. If you have an older car or one that has not retained much monetary value, then you probably wouldn’t want to pay for this extra coverage.
Collision coverage protects against:
- Replacing or repairing a vehicle involved in a traffic crash with another car or object.
- Replacing or repairing a vehicle that has rolled over.
Towing and Labor Coverage
Towing and labor coverage is an optional coverage that will increase your premiums. This coverage will pay for any towing costs should your car become disabled. You cannot purchase towing and labor separate from purchasing collision coverage. Most policies will specify a maximum amount that will be paid for such costs per incident and per policy term.
Rental Reimbursement Coverage
Rental reimbursement is optional coverage in the state of Pennsylvania. The only to purchase rental reimbursement is to also purchase collision and comprehensive coverage. In the case that you cannot drive your insured vehicle due to damage from a crash or due to theft, then this coverage will pay for the cost of a rental vehicle. This coverage will also specify a maximum amount that will be paid out per day and per accident.
Auto Loan/Lease Gap Coverage
The auto loan/lease gap coverage is not required in Pennsylvania. In order to purchase this auto insurance coverage, you must also maintain collision and comprehensive coverage. You vehicle must also be financed or leased. This coverage will reimburse you for the difference between the actual cash value of your car at the time of the loss and the vehicle’s salvage value. It will also reimburse any amount owed on the vehicle, minus any unpaid finance charges or other expenses (like wear and tear) on the vehicle, and the vehicle’s salvage value.
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