Tips for homeowners insurance

When it comes to protecting your vehicle, having auto insurance is essential — but understanding what’s actually included in your policy is just as important. Many drivers pay for coverage without fully knowing what they’re getting. In this post, we’ll break down the key components of an auto insurance policy to help you feel more confident and informed1..

1. What Is an Auto Insurance Policy?

An auto insurance policy is a legal contract between you and your insurer. It outlines the terms of your coverage what’s protected, what’s excluded, and how claims will be handled. Each policy has its own limits, premiums, and conditions, so reading it carefully is essential.

2. Policy Limits and Deductibles

Your policy will include:

• Limits: The maximum amount your insurer will pay for a covered loss.
• Deductibles: The amount you pay out of pocket before your coverage kicks in.

3. What’s Not Covered

It’s just as important to know what your policy doesn’t cover. Common exclusions include:

• Wear and tear
• Mechanical breakdowns
• Using your vehicle for commercial purposes (unless stated)
• Intentional damage
• Always check the fine print or ask your insurer for clarification.

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