Mandatory insurance coverage is determined by each state. It is there to protect you, your family and other drivers on the road. And while each state sets their own minimum level of coverage, it is usually at the lower level just to make sure that all drivers have some kind of insurance to cover them. Here is some basic information to help you in deciding the types of insurance and the levels of coverage you may want to include in your auto insurance policy.

There are six major areas of coverage for automobile insurance. The minimum levels of coverage vary from state to state. In general, these areas are: Bodily injury liability, Property damage liability, Personal Injury Protection or PIP, Collision, Comprehensive, Uninsured/Underinsured motorist’s coverage.

You must carry liability insurance to drive in the state of West Virginia. The Insurance Commissioner requires drivers to carry bodily injury liability and property damage. Some states allow alternative means of ensuring financial responsibility but in West Virginia you can only do this through an insurance carrier who is licensed to sell insurance in this state.

The minimums that are required are the highest amount that your insurance company will pay out due to injuries or death to you or any other people involved in an accident, as well as any property damage. These amounts are only what are required by the state and you can certainly select higher levels of coverage.

Your bodily injury coverage will pay for any damages that you may have caused another person if an accident were to occur. This coverage includes medical bills and loss of income. And your property damage liability covers the repair and/or replacement of any property that was destroyed as a result of an accident.

You will probably be required to carry collision and comprehensive coverage on any vehicle that you still owe money on. Your lender will require it to protect their investment. If you do not provide proof of insurance, the lender will take matters into their own hands and find insurance coverage for you and bill you for it in addition to your regular car payment.

Most people have collision and comprehensive coverage on their policy. Collision insurance covers any damage to your car that was a result of hitting another vehicle, a tree, a telephone pole, etc. Comprehensive coverage protects the value and replacement of your car in the event that it is damaged as a result of anything other than an accident, for example if your car is stolen, someone breaks into it or there it suffers flood damage.

Not usually mandatory are uninsured and under-insured motorist coverage. Uninsured motorist coverage pays for any damages that are a result of an uninsured motorist or a hit and run driver. Underinsured motorist coverage comes into play if the other driver, who is at fault, does not have enough insurance to cover you. This coverage is not used to cover damages to your car.

Knowing what the different types of auto insurance coverage are and what they cover will give you a head start when deciding on your insurance needs.