CO DMV Vehicle Insurance 3

Question 1

What is 'collision coverage' in an auto insurance policy?

Accepted Answer

It covers damage to your car from an accident regardless of fault

Answer

Collision coverage pays to repair or replace your vehicle when it's damaged in an accident, regardless of who is at fault.

Question 2

What does 'comprehensive coverage' protect against?

Accepted Answer

Non-collision events like theft, fire, or weather damage

Answer

Comprehensive coverage protects your vehicle from non-collision losses such as theft, vandalism, fire, and weather damage.

Question 3

In Colorado, if you are involved in an accident and do not have insurance, what happens to your driver's license?

Accepted Answer

It may be suspended until you provide proof of insurance

Answer

In Colorado, driving without insurance and being in an accident can result in license suspension until proof of insurance is provided.

Question 4

Which of the following is NOT required under Colorado's minimum auto insurance law?

Accepted Answer

Comprehensive coverage

Answer

Comprehensive coverage is optional in Colorado; only liability coverage (bodily injury and property damage) is legally required.

Question 5

What is a 'deductible' in an auto insurance policy?

Accepted Answer

The amount you pay out-of-pocket before insurance covers the rest

Answer

A deductible is the amount you must pay yourself before your insurance company covers the remaining claim cost.

CO DMV - Colorado Department of Motor Vehicle Practice Test