Collision vs. Comprehensive: What’s the difference?
Help understand the key differences between collision and comprehensive car insurance. Learn what each covers, when they're needed and how they can work together to help protect your car.
Overview: Collision and comprehensive car insurance both help protect your vehicle, but in different ways. Collision coverage helps cover damage from accidents involving other cars or objects, while comprehensive coverage helps cover non-collision incidents, such as theft, weather damage or hitting an animal. It’s important to understand deductibles, situations where these coverages may be required (such as for a leased or financed car) and tips for choosing options that fit your needs.
When it comes to helping protect your vehicle, understanding collision vs. comprehensive insurance may be important. Both coverages are optional and help safeguard your vehicle from damage, but they apply to different situations. Understanding the difference between collision and comprehensive insurance can help you make better informed decisions.
What is collision coverage?
Collision coverage helps cover damages caused when your car hits something or overturns, including:
- Your car crashes into another vehicle.
- Your car hits stationary objects, like trees, fences or telephone poles.
- Your car rolls over during accidents.
Collision insurance helps pay for damage to your car—regardless of who was at fault. This type of coverage can be helpful if you can’t afford unexpected repair costs.
For example, if your car hits a guardrail and sustains $2,500 in damage, collision coverage can help repair your car. You would need to pay the deductible first—let’s say it’s $500—and then your insurance would cover the remainder of the repair costs.
What is comprehensive coverage?
Unlike collision coverage, comprehensive coverage handles damages to your car resulting from incidents unrelated to a crash. These scenarios may include:
- Theft — if your car is stolen, comprehensive coverage can help reimburse the actual cash value (ACV) of your vehicle.
- Weather — damage from hail, flooding or storms is covered.
- Vandalism — if your vehicle is intentionally damaged by someone else, such as keyed paint or smashed windows.
- Falling objects — a tree limb damages your car during a storm.
- Fires or explosions — if your vehicle is damaged due to a fire or explosion.
- Hitting wildlife — if your vehicle collides with an animal like a deer, it can cause extensive damage.
Comprehensive coverage usually applies for circumstances beyond your control. This coverage helps safeguard from unpredictable and non-driving-related incidents.
Comprehensive coverage can be purchased with or without a deductible. For example, if you have a $1,000 deductible and hail damage costs $2,500, you would pay the first $1,000, and then the insurance would cover the remaining $1,500.
Key differences between comprehensive and collision
When are collision and comprehensive coverages required?
In many states, liability insurance is the only coverage legally required. However, if you lease or finance a vehicle, lenders typically require both comprehensive and collision coverage. These requirements exist to help protect their financial stake in the vehicle until you’ve paid off your loan or completed your lease agreement.
While not required for cars without a lienholder, collision and comprehensive coverages can help provide benefits. Consider the following:
- Older cars — if your vehicle is older and fully paid off, collision coverage may not be cost-effective due to its higher premiums. However, comprehensive coverage can still be valuable, especially for risks such as theft or weather damage.
- Ability to pay for repairs — if a sudden repair bill of several thousand dollars would cause you financial hardship, including these coverages might make sense.
- Deductible options — choosing a higher deductible can help reduce your insurance premium, but increases out-of-pocket costs in the event of a claim.
Choose coverage that meets your needs
Collision vs. comprehensive insurance may sound confusing at first, but their distinct purposes can be easy to understand. Collision coverage can help in driving-related incidents, while comprehensive coverage can help with unexpected non-driving damages like theft or storms.
These coverages can help you protect your car and financial security during life's unexpected challenges. To learn more or explore policy options, contact a State Farm® agent today or explore options to get a personalized quote.
The information in this article was obtained from various sources not associated with State Farm® (including State Farm Mutual Automobile Insurance Company and its subsidiaries and affiliates). While we believe it to be reliable and accurate, we do not warrant the accuracy or reliability of the information. State Farm is not responsible for, and does not endorse or approve, either implicitly or explicitly, the content of any third-party sites that might be hyperlinked from this page. The information is not intended to replace manuals, instructions or information provided by a manufacturer or the advice of a qualified professional, or to affect coverage under any applicable insurance policy. These suggestions are not a complete list of every loss control measure. State Farm makes no guarantees of results from use of this information.
Please remember that the preceding descriptions contain only a general description of available coverages and are not a statement of contract. All coverages are subject to all policy provisions and applicable endorsements. Coverage options may vary by state. To learn more about auto insurance coverage in your state, find a State Farm agent.
This article was drafted with the help of AI and reviewed by State Farm editors.
State Farm Mutual Automobile Insurance Company
State Farm Indemnity Company
Bloomington, IL
State Farm County Mutual Insurance Company of Texas
Richardson, TX
