What type of insurance covers damage to your car from a collision with another vehicle?

Insurance that covers damage to your car from a collision with another vehicle is collision coverage.

Collision coverage is an optional part of auto insurance that helps pay to repair or replace the insured vehicle after it strikes another vehicle or object, or after another vehicle hits it. It generally applies regardless of which driver caused the crash, subject to the policy's deductible and limits.

This coverage protects your own car; it is different from liability coverage, which pays for injuries or property damage you cause to other people. Comprehensive coverage handles many non-collision losses, such as theft, fire, falling objects, hail, or animal strikes. Uninsured-motorist property-damage coverage may help when an at-fault driver lacks insurance, but its availability and rules vary by jurisdiction.

Collision coverage is especially relevant when a vehicle is financed or leased. Lenders commonly require it to protect their financial interest. Once a car's value becomes low relative to the premium and deductible, an owner may reassess whether the coverage is worthwhile.