Today’s Lecture - State Farm Car Policy Comprehensive Collision Emergency Road Service

Comprehensive Pays for loss to your car except by collision Includes breakage of glass and loss caused by: Missiles Falling objects Fire Theft or larceny Explosion Earthquake Windstorm Hail Water Flood Malicious mischief or vandalism Riot or civil commotion Hitting or being hit by bird or animal

Comprehensive - Example Someone scratches the paint on your car with a tool. It costs $2500 to sand and paint your car to repair the damage.

Comprehensive - Example A0 B2400 C2500 DNone of the above

Comprehensive - Transportation Costs Provides up to $25 per day in transportation costs if your car is stolen starting when you report the loss and ending when they offer to pay the loss

Comprehensive - Transportation Costs - Example Your car is stolen. You immediately report the loss and rent a replacement for $20 per day. Six days later State Farm settles your claim.

Comprehensive - Transportation Costs - Example A0 B20 C120 D150 ENone of the above

Collision Pays for loss to your car caused by collision but only for the amount of each such loss in excess of the deductible.

Definition Collision - means your car upset or hit or was hit by a vehicle or other object.

Collision - Example Your car is parked at Marketplace Mall while you are shopping. When you return to your car, the rear fender is smashed. You can’t find out who ran into your car. It costs $700 to repair the damage.

Collision - Example A0 B600 C700 DNone of the above

Clothes and Luggage - Comprehensive and Collision Pays up to $200 in excess of the deductible for loss to your clothes and luggage if they were in the car at the time of the loss.

Clothes and Luggage - Comprehensive Loss must be caused by: Fire Lightning Flood Falling objects Explosion Earthquake Theft of the entire car

Clothes and Luggage - Example You decide to drive to Indianapolis for the weekend. While your car is parked at the Speedway, someone breaks into your car and steals your luggage, which contained your clothes. The luggage was worth $100 and the clothes were worth $200.

Clothes and Luggage - Example A0 B100 C200 D300 ENone of the above

Limits of Liability - Comprehensive and Collision The limit of liability is the lower of: actual cash value the cost of repair or replacement

Emergency Road Service Pays the cost you incur for: up to 1 hour of labor costs at site of breakdown towing to nearest repair location towing out if stuck on or next to public highway delivery of gas, oil, loaned battery or change of tire - does not pay for the cost of these items

Emergency Road Service - Example While driving you get a flat tire. When you discover you don’t have a spare, you call a service station for help. They bring you a new tire and put it on your car. They charge $100 for the new tire and $25 for changing your tire.

Emergency Road Service - Example A0 B25 C100 D125 ENone of the above