Collision Coverage — Insurance Claims Definition
Auto
First party auto coverage for damage to your vehicle from collision with another object or vehicle or rollover.
Collision pays to repair or replace your car minus deductible, regardless of fault in many policies. It is optional for owned vehicles but often required by lenders. It does not cover the other party's car — that is liability property damage.
Examples
You slide on ice into a guardrail; collision pays $4,000 repair minus $500 deductible.
Common Mistakes
Using collision for mechanical breakdown — not covered. Confusing collision with property damage liability.
