There are three (3) distinct components of auto insurance coverage: liability, collision and comprehensive. Liability protects you in case you are at fault for an accident. Possible liability may extend not only to the damages to the other car, but also for medical expenses, lost wages as well as pain and suffering for injured persons.

Collision pays for repairs to your vehicle or for the replacement of its market value if it is totaled upon collision with another car or you hit something, regardless of who is at fault. The comprehensive coverage pays for repairs or the replacement of your car if it is stolen or damaged in a fire, flood or high winds.