As a younger driver, you’re still building the years of experience needed to handle certain situations on the road, so it's important to protect yourself with auto insurance. A typical policy contains a few different types of coverage—some are mandatory while others are optional. Below is a brief guide to help you decide which types of coverage are right for you.

How to Choose Which Types of Auto Insurance Coverage You Need

Liability Coverage

In Alabama, all cars that operate on public roads must carry at least $25,000 of bodily liability insurance per person to a per-accident maximum of $50,000. This pays for medical care if another motorist or pedestrian suffers injuries in an accident deemed to be your fault. You must also carry a minimum of $25,000 of property damage liability, which covers damages to other vehicles and other people's property. Note that liability coverage does not include damages or injuries you, your car, or your passengers suffer.

Collision Coverage

To protect your own vehicle in an accident, you must buy collision coverage. The newer and more expensive your car, the more important this is. If you drive a 25-year-old beater you bought for $800, you may not need collision insurance. But if your car is only a few years old and still worth a great deal, you should seriously consider protecting it.

Comprehensive Coverage

This protects you against non-collision events like fire, flood, vandalism, and car theft. As above, the more valuable your car, the more important this is. Note that if you still have an outstanding auto loan, your lender will insist you buy "full coverage," an informal term that typically includes both collision and comprehensive coverage, to protect their interests.

Uninsured/Underinsured Motorist Coverage

Generally, the at-fault driver's insurance company pays for damages. However, if the at-fault driver is uninsured or has coverage limits that don't cover the total amount of damages, you could find yourself paying some or all of the expense yourself. This coverage protects you in such a situation by paying any amount beyond what the other driver's insurer will contribute, if any. It, too, is often considered an essential part of "full coverage."

For invaluable guidance choosing the right types and amounts of auto insurance coverage, contact Southern Insurance AL in Foley, AL. They are a family-owned and -operated independent agency serving clients in and around Baldwin County. In addition to personal and commercial automobile coverage, they also specialize in motorcycle, RV, travel-trailer, and boat insurance. Visit their Facebook page to view a map and business hours or call (251) 943-3340 to get a free insurance quote.