Collision coverage pays to repair or replace your vehicle after an accident. While not required by state law, you may be required to purchase collision coverage in certain instances such as if you are leasing or financing your vehicle. According to iii.org, 75% of insured drivers purchase collision coverage.
What Does Collision Insurance Cover?
As mentioned previously, collision coverage pays to repair or replace your vehicle after an accident. More specifically, accidents covered by collision insurance include:
- accidents involving another vehicle that you cause
- collisions with objects such as a telephone pole, tree, fence, guardrail, etc.
- an accident in which you roll your car (even if it is a single-vehicle accident)
Additionally, collision insurance covers damage caused by road hazards such as potholes.
What is Not Covered By Collision Insurance?
Events not covered under collision coverage are:
- Damage to another vehicle
- Medical expenses (for you or other parties)
- Theft or vandalism damage
- Collisions with an animal such as a deer
- Damage caused by weather such as hail, fire, or flood
- Damage from fallen objects
If you are looking for coverage from these perils, check out comprehensive coverage. We recommend utilizing both collision and comprehensive coverage.
How Much Does Collision Coverage Cost?
As is with the rest of your auto policy, the premium you pay for collision coverage varies from driver to driver and policy to policy based on numerous factors. Personal details such as your age, gender, marital status, and driving record factor into the cost of an auto policy, as do details about the vehicle you drive and where you live within your state.
The average cost of collision coverage among TGS Insurance customers in the state of Texas is $344.85 per year. This is $89.61 cheaper than the average for Texas reported by iii.org. Throughout Texas, we see ranges from sub $200 to over $500 which resolidifies just how much this number can vary on a case-by-case basis. Below is a table comparing the average premium for cities in both the Houston and Dallas areas.
|City||Avg. Annual Premium for Collision Coverage|
Does Collision Coverage Have a Deductible?
Yes, collision coverage is usually written with a deductible that applies separately to each occurrence. That is, you will have to pay your deductible each time you file a claim. Deductibles vary based on what you select but typically range between $500 and $1,500 with $500 being the most common.
Why Should I Buy Collision Coverage?
As previously mentioned, collision coverage is not required by state laws. However, if you’re leasing or financing your vehicle, collision coverage is almost always required by your lender.
If your car is paid off, then collision coverage is entirely up to you- but we still recommend carrying it. If you can’t afford to fix or replace your vehicle if it’s totaled after a wreck, then carrying collision coverage is a smart financial move.
Get The Right Auto Insurance With TGS Insurance
At TGS Insurance, we believe everyone should have access to the auto insurance they need at a price that doesn’t force them to compromise on coverage. We shop your auto policy through our bank of 35+ A-rated or better auto insurance carriers to secure our customers the best policy the market has to offer. Our average driver saves $1,237 per year when they switch to us! Get started with your hassle-free auto quote today and see why over 15,000 Texans are insured with TGS Insurance.
Every driver is unique. Insurance premium costs are impacted by several factors; therefore, we recommend obtaining an individualized quote to find your rates.
Our data is representative of quality, publicly sourced, and internal data, but should not be deciphered as bindable.
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