Collision coverage
In plain English: collision coverage is the part of a car insurance policy that pays to repair or replace your own vehicle after it hits another vehicle or an object, or rolls over, whoever caused the crash. You usually pay a deductible first.
What it covers and what it doesn't
- Usually covered: damage from hitting another car, a wall, a pole, a guardrail or a pothole, and single-vehicle rollovers.
- Usually not covered: theft, fire, hail, flood, vandalism and hitting an animal. Those typically fall under comprehensive coverage.
- Never covered: your injuries, or damage to other people's property. Those come from medical, no-fault or liability coverages.
If the car is a total loss, collision coverage pays its actual cash value minus your deductible, not what you owe on it.
When it's worth using
If the other driver was clearly at fault and insured, you can claim directly against their property damage liability coverage and pay no deductible. That can be slow, though, especially if they dispute fault. Going through your own collision coverage is often faster: your insurer pays for repairs now, then pursues the other driver's insurer to recover what it paid, including your deductible. That recovery process is called subrogation.
Collision coverage matters most when you caused the crash, when fault is disputed, when the other driver is uninsured or unidentified, or when you need your car back quickly.
Another driver runs a stop sign and hits you, then tells their insurer you were speeding. Their insurer won't commit on fault. You claim under your collision coverage, pay your deductible, and get the car repaired within two weeks. Months later, your insurer recovers the cost from the other insurer and refunds your deductible.
Country differences
US: collision coverage is optional under state law, but a lender or leasing company almost always requires it while you're paying off the car.
UK: the term isn't used. Damage to your own car in a crash is covered by a "comprehensive" policy, not by third party only or third party, fire and theft cover. The deductible is called an excess.
Canada: policies usually offer "collision or upset" coverage. Some provinces, including Ontario, also have direct compensation rules under which you claim for vehicle damage from your own insurer to the extent you weren't at fault, even without collision coverage. Check your province's system.
Hidden damage often shows up once panels come off. Make sure the shop can submit a supplement, and keep the paperwork, since repair records can help your injury claim by showing how hard the impact was.
Next: comprehensive coverage · deductibles · fault vs no-fault insurance.
Related terms
General information, not legal or medical advice. Rules differ between US states, the UK and Canadian provinces, so check the law where your accident happened. How we write and check · Legal disclaimer