Before you buy any product or service, it is very important to learn about your options first so as not to regret any purchase in the end. That goes the same with car insurance plans. A basic understanding of the different types of coverage is significant in making your final decision.

Below is a list of various types of car insurance coverage available in the market:

* Liability insurance. This is currently mandatory in 47 states. This type of coverage pays for the medical expenses and damage repair for the other parties involved in any accident that is your fault.

* Collision insurance. When you buy collision insurance, you’ll have to set a deductible amount. This is a sum you’ll have to pay upfront before the work on repairing your car can begin. The higher the amount, the lower the cost of the policy but the more you’ll have to pay out of your own pocket.

* Comprehensive insurance. This type of insurance gives you maximum coverage. This covers you for all types of damage including vandalism, collision, etc.

* Personal injury protection. This coverage helps pay for any medical expenses you or your passengers may need to pay.

Remember, the type of insurance that’s best for you depends on your individual needs, your vehicle and the state in which you live in. Whatever kind of policy you choose, just make sure you’re sufficiently covered for any eventuality.