Personal & Household Line

Auto insurance

InsuranceFinder directory guide · Updated September 2026

Personal auto insurance covers financial loss from car accidents, vehicular damage, theft, and third-party bodily injury or property damage. Most states mandate minimum liability coverage, while collision and comprehensive cover physical damage to your vehicle. It does not cover normal mechanical wear, commercial delivery use without a business endorsement, or intentional damage.

Auto coverage breakdown: what a standard policy covers

Auto insurance policies are structured into distinct coverage parts. Understanding each part helps you speak knowledgeably with a licensed agent without falling for generic rate comparison promises.

1. Bodily Injury & Property Damage Liability

Required by nearly all states. Pays for third-party injuries, medical costs, vehicle repair, and legal defense if you are at fault in an accident. Does not pay for damage to your own vehicle.

2. Collision & Comprehensive

Collision covers impact damage with another car, guardrail, or pothole rollover. Comprehensive covers theft, vandalism, windshield cracks, hail, and animal strikes (subject to your deductible).

3. Uninsured / Underinsured Motorist (UM/UIM)

Protects you and your passengers if struck by a hit-and-run driver or someone driving without insurance or with statutory limits too low to cover your medical costs.

4. Medical Payments (MedPay) or PIP

Covers immediate medical and hospital expenses for you and your passengers regardless of fault. Personal Injury Protection (PIP) also reimburses lost wages in no-fault states.

Important Policy Exclusions to Know:

Standard personal auto policies exclude vehicle use for commercial delivery (e.g. food or package courier) and ridesharing (Uber, Lyft) while the app is active, unless endorsed with rideshare or business coverage. Routine mechanical failure and wear-and-tear are also excluded.

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