# Car insurance guide for first-time buyers

> Learn how auto policies, coverage, costs, quotes, documents, claims, and renewals work.

An auto policy is a contract for a stated policy period. The insurer charges a premium and agrees to pay covered losses under the definitions, limits, deductibles, conditions, and exclusions in that contract.

## Main coverage types

- Liability coverage pays covered injuries or property damage you cause to other people.
- Collision coverage commonly addresses damage to your vehicle after it hits another vehicle or object.
- Comprehensive coverage commonly addresses theft, hail, fire, vandalism, animal strikes, and other covered causes that are not collisions.
- Personal injury protection and medical payments coverage can address eligible medical costs under different rules.
- Uninsured and underinsured motorist coverage can help when a responsible driver has no insurance or too little.

## Premiums and deductibles

The premium is the price of the policy. A deductible is the amount you agree to pay toward certain covered claims. Compare the full policy premium, fees, limits, deductibles, and optional coverages rather than comparing only monthly payments.

## Comparing quotes

Use the same drivers, vehicles, address, mileage, coverages, limits, and deductibles for every quote. Confirm all details on the declarations page, then read the policy forms and endorsements.

## Claims and renewals

Report a loss promptly and keep photos, reports, receipts, estimates, and contact details. Avoid insurance lapses by matching the exact end time of the old policy with the start time of the replacement.

## Continue

- [Browse the car insurance glossary](https://locations.goautoinsurance.com/car-insurance-glossary.md).
- [Find a GoAuto Insurance location](https://locations.goautoinsurance.com/index.md).
- [Start an online quote](https://www.goautoinsurance.com/webapps/QuoteProd/StartAQuote.aspx?locale=en).