Being involved in an accident can be quite stressful. It will be even worse if you don't have proper auto insurance. According to Fox Business, you will file a claim for a collision approximately once every 18 years. No one knows when this will be, so it's a great idea to ensure that you have the best coverage for your vehicle. Here are three types of auto insurance that you might want to consider.

Third-Party Liability-Only Coverage

According to the Motor Vehicles Act, this type of auto insurance is a must for any vehicle that travels on roads in the United States. The size of the auto insurance package should be proportional to the risk or to the driving conditions. Generally, you should ensure that it's high enough to avoid out-of-pocket payments from your side if anything happens. Third-party liability-only cover handles the cost of repairs of the damaged vehicle of third parties. It will also cover the cost of treatment and hospitalization of the other party. Lastly, this insurance package will cover any liabilities arising out of the death of third parties.

Collision Damage Coverage

Also known as own simply damage coverage, collision damage coverage handles the cost of repairs to your car if you are involved in an accident. There are several factors that are taken into account when it comes to determining the cost of collision coverage. For instance, insurers consider the age of the vehicle and its insured declared value. The insured declared value is generally based on the market value of your car. When you file a claim, the insurance company will then calculate the maximum amount payable. This is calculated by removing the accumulated depreciation from the market value of your vehicle. It's important to have collision coverage if you have purchased your car on loan.

Comprehensive Coverage

This type of auto insurance will protect you from things like theft, hail, fire, or vandalism. If there is damage to your car due to a covered peril, a comprehensive insurance package may help with repairs and replacement. That said, you must keep in mind that this type of auto insurance has a deductible. This is an amount that you need to pay out-of-pocket before the insurance company reimburses you for a covered claim.

These are three types of insurance policies for vehicles that you may want to know about. It's important to choose the right insurance coverage so that you are covered if anything happens to your car. Get in touch with us today if you are looking for the best auto insurance for your vehicle.