What type of coverage also includes protection against losses from fire or theft?

Study for the New Jersey Personal Lines Test. Get ready with flashcards and multiple choice questions, each question has hints and explanations.

Comprehensive Coverage is designed to provide protection against various types of non-collision-related losses, which includes damage to a vehicle caused by incidents such as fire, theft, vandalism, and natural disasters. This type of coverage is essential for car owners who want to protect their vehicles from a wider array of risks that are not typically covered by collision insurance.

While liability coverage focuses primarily on damages or injuries inflicted on others and collision coverage addresses damages from accidents involving other vehicles or objects, comprehensive coverage goes beyond that and encompasses a broader spectrum of potential risks to the insured vehicle. Uninsured Motorist Coverage, on the other hand, protects drivers in the event of an accident with someone who does not have insurance, but does not cover losses due to fire or theft. Therefore, comprehensive coverage stands out as the correct choice for covering losses from fire or theft.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy