Along with the mandatory liability insurance coverage mandated by the state, Idaho drivers can choose to add optional car insurance to their policy. Collision and comprehensive coverage are not required under state law, but they are both ways that a driver can protect his or her own vehicle. If the car is being financed, the lender will probably require that this coverage put on the vehicle as a condition of taking out the loan.
Collision coverage pays out when the car is damaged by hitting another car or an object. The policyholder is required to pay his or her deductible first, and then the insurance company will cover the damage, up to the policy limit. In a case of a car that is totaled, the insurance company will write a check for the cash value of the vehicle.
Comprehensive car insurance coverage protects the owner against loss that stems from other perils, such as damage from fire, hail, or flooding. It also pays out if the car is stolen. In this case, the insurer will pay out an amount equal to the cash value of the car.
Other forms of optional Idaho car insurance are uninsured motorist and underinsured motorist coverage. Uninsured motorist insurance pays when the at-fault driver has no insurance or the incident was a hit and run. Underinsured motorist coverage pays out when the at-fault driver doesn’t have enough coverage to fully satisfy a claim.