Definitions

Liability Coverage: Covers the damage you do to the other person or to his property and for which you are legally liable. Pays for damage only up to the limits of coverage - typically separate limits for bodily injury and property damage.

Uninsured Motorists Coverage: Provides bodily injury coverage for the benefit of the insured when the other party is at fault and has no coverage. Coverage is required by law unless rejected in writing.

Underinsured Motorists Coverage: Same as above except for underinsured drivers -- those with minimum liability limits of coverage. Coverage is required by law unless rejected in writing.

Collision Coverage: Provides coverage for your auto when it is involved in a collision with another object or overturned. Coverage always contains a deductible. Often the most expensive component of auto insurance, particularly if it is a newer car or one that may be expensive to repair.

Other than Collision Coverage (Comprehensive): Pays for damage to your auto when damaged by causes other than collision. Examples are fire, theft, falling objects (typically trees). Collisions with animals are covered by comprehensive coverage. Often contains a deductible but not always.

"Full" Coverage: Provides all the above coverages and typically a few other insignificant coverages such as towing.

Deductible: The amount you must pay before insurance pays. Example: You have collision coverage with a $500 deductible. You slide on the ice and hit a telephone pole causing $1,750 damage to your car. You must pay the first $500. The insurance will pay the remaining $1,250.

Best ways to save money on car insurance

Good driving record - no accidents or tickets
Take advantage of discounts - multi-car, experienced driver discount, multi-policy discount (auto and home insurance with same company)
Buy an auto you can afford to lose and don’t carry collision coverage.
If you need collision coverage avoid expensive cars and opt for a higher deductible.
Younger drivers get discounts for maintaining "B" averages and completing driver training courses.
Find an knowledgeable agency, stick with them and build a relationship. Don’t move your insurance to save an insignificant amount of money.

Worst ways to save money on car insurance

Buying low liability limits. Example: You carry the minimum coverage required in Ohio $12,500 per person for bodily injury, $25,000 per accident for bodily injury, and $7,500 for property damage. If you slide on the ice and do major damage to a new $70,000 BMW, the most your insurance will pay is $7,500 -- you must pay the rest out of your pocket!
Rejecting coverages is a bad idea. Take our word for it. Not enough room here to discuss it.