Whats the difference between comprehensive and collision insurance

Both comprehensive and collision car insurance policies pay for damages to your vehicle, but not under the same circumstances. In this review, we at the Home Media reviews team will explain the differences between comprehensive vs. collision car insurance. Learn what each covers, how coverage works and average costs in your state.

If you’re shopping for any type of insurance, you’ll want to pay the lowest rates for the best coverage. Use the tool above to compare free quotes from some of the best car insurance companies on the market.

Comprehensive vs. collision insurance: coverage

Comprehensive and collision car insurance policies both cover damage to your own vehicle. Comprehensive insurance covers your vehicle after damage from a collision with an animal or while parked, including weather-related damage and vandalism. Collision insurance covers your vehicle after damage from a collision with another vehicle, object or building.

The chart below details several examples of events covered by comprehensive vs. collision insurance:

Comprehensive and collision insurance policies pay for damages up to the actual cash value (ACV) of your vehicle. ACV is the amount that your car is worth on the open market and is calculated by your insurance adjuster.

Both collision and comprehensive auto insurance typically include a deductible, which is generally around $500 to $1,500. After a claim is approved, you must pay the cost of the deductible before your insurer begins to cover damages.

Comprehensive vs. collision insurance: cost

When comparing comprehensive vs. collision rates, collision car insurance typically costs more. However, it’s common to purchase both types of insurance together. Your final cost will depend on your state, the value of your vehicle, the deductible you select and your driving record.

The table below shows the average annual premium costs by state for comprehensive vs. collision policies. Data comes from a 2020 report issued by the National Association of Insurance Commissioners (NAIC) and refers to premiums paid in 2017.

Do you need comprehensive and collision car insurance?

Comprehensive and collision car insurance are not required by state law. However, if you lease or finance your vehicle, your lender may require you to carry both comprehensive and collision policies.

Keep in mind that your collision or comprehensive policy only covers up to your car’s ACV, and it’s possible that this amount is lower than the amount you owe in car payments. If this is the case and your vehicle is totaled while you still owe money on it, there is another type of insurance, called guaranteed asset protection (GAP), that will pay the difference of what you owe in the event of a total loss claim.

Even if you don’t finance or lease your vehicle, it’s typically a good idea to purchase comprehensive and collision car insurance. Together with liability insurance, this is referred to as “full coverage car insurance.”

A liability policy only covers damage to other drivers and their vehicles after an accident you are found at fault for. If you cause an accident or are in an accident with an uninsured driver, your own liability policy will not pay to repair your vehicle. If your vehicle is damaged or stolen while parked, your liability insurance will also not cover the costs.

This is why, in most cases, it is recommended to maintain full coverage car insurance. The exception is when your vehicle does not have much value. Comprehensive and collision policies will pay a maximum of your car’s ACV. If this is especially low (which is often the case with cars more than 10 years old), you are generally better off saving the cost of your premiums. A good tool to use to check the value of your car is Kelley Blue Book.

Our recommendations for auto insurance

If you’re purchasing a new car insurance policy or upgrading an existing policy, it can be a good time to compare your options for comprehensive vs. collision coverage. The best way to find the lowest premiums is to compare rates from multiple providers. 

Use the tool below to get started comparing car insurance quotes from some of the best insurers in the industry, or read on to learn more about two of our top recommended providers — USAA and Progressive.

USAA: Low Rates for Military Families

USAA has one of the strongest customer reputations of any insurer in the industry. The company typically scores the highest in every region in the J.D. Power U.S. Auto Insurance Satisfaction StudySM. It is also a financially stable insurer with an A++ financial strength rating from AM Best. 

Just about the only downside to USAA is that not everyone is eligible for a policy. Only those who are a member of the United States military or who have a family member or spouse that is a USAA member can sign up for a policy.

In addition to standard insurance coverages, USAA customers can also purchase:

• Roadside assistance
• Rental car reimbursement
• Accident forgiveness
• Glass coverage
• GAP coverage
• Car replacement assistance (CRA)
• Rideshare insurance

Progressive: Low Rates for High-Risk Drivers

Based on our cost research, Progressive can be a good choice for high-risk drivers because it generally has the lowest rates for those under 21, over 65 or that have a DUI/DWI on record.

Like USAA, Progressive has solid financial stability, with an A+ financial strength rating from AM Best. Comprehensive and collision insurance policies are available with Progressive. In addition to the other standard auto insurance options, Progressive offers policy add-ons for the following:

• Roadside assistance
• Custom parts and equipment coverage
• Rideshare coverage
• Rental car reimbursement
• Loan/lease payoff

With Progressive, it’s easy to see what a comprehensive or collision policy would cost. Using the Name Your Price® tool, potential customers can sort through coverage options by starting with the premium they hope to pay.

Frequently Asked Questions

Our methodology

Because consumers rely on us to provide objective and accurate information, we created a comprehensive rating system to formulate our rankings of the best car insurance companies. We collected data on dozens of auto insurance providers to grade the companies on a wide range of ranking factors. The end result was an overall rating for each provider, with the insurers that scored the most points topping the list.

Here are the factors our ratings take into account:

• Cost (30% of total score): Auto insurance rate estimates generated by Quadrant Information Services and discount opportunities were both taken into consideration.
• Coverage (30% of total score): Companies that offer a variety of choices for insurance coverage are more likely to meet consumer needs.
• Reputation (15% of total score): Our research team considered market share, ratings from industry experts and years in business when giving this score.
• Availability (10% of total score): Auto insurance companies with greater state availability and few eligibility requirements scored highest in this category.
• Customer Experience (15% of total score): This score is based on volume of complaints reported by the NAIC and customer satisfaction ratings reported by J.D. Power. We also considered the responsiveness, friendliness and helpfulness of each insurance company’s customer service team based on our own shopper analysis.

*Data accurate at time of publication.