Yes, your personal auto insurance is designed to protect your vehicle and help you out if you get into an accident. Your auto insurance can do a lot more than that, though. Here are a few extra perks of auto insurance many people are not aware of.
Surprising Benefit #1: Auto Insurance Covers Legal Fees
Your auto insurance doesn't just pay to fix the other driver's car and cover their medical bills in an accident if you caused the accident. Your auto insurance will also step in and cover your legal needs and any fees you have to pay if the other driver sues you because you were at fault for the accident. Your insurance company will suggest a lawyer to you or allow you to find your own. They will cover the cost of the lawyer, and if a judgment is issued against you, they will cover that as well. This is all included if you have bodily injury liability coverage on your policy.
Surprising Benefit #2: Auto Insurance Covers Your Bail
If you are arrested due to something that happened with your vehicle, your insurance company may actually cover the cost of your bail under certain circumstances.
Most insurance companies will cover the cost of bail for a minor offense up to a certain amount. Some insurance companies will cover a percentage of your bail if you face a serious offense. They will cover bail if you are arrested due to an accident or a traffic violation.
Your insurance company will not cover your bail if you were arrested for something you did on purpose or something you did for the purpose of committing fraud. For example, if you were to intentionally set your car on fire and were arrested for it, your insurance wouldn't bail you out because setting your car on fire is an intentional act and could also be fraudulent.
Surprising Benefit #3: Auto Insurance May Pay for a Car Rental
If you have rental car insurance on your car insurance policy and you get into an accident, your insurance will cover the cost of renting a car. They will cover the cost of renting a car up to a certain dollar amount per day for a certain number of days. How long they will cover a rental car may vary, but they will generally cover your rental car until your vehicle is fixed or you get a new one. This is coverage you need to add to your policy, but it generally only costs a couple of dollars a month.
Your car insurance can do a lot more than just take care of your car. It can also cover legal fees, bail related to an auto incident, and a rental car when your car is damaged.
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