Collision insurance covers your car repair bills after an accident in Nevada. If your car is “totaled,” the policy covers the vehicle’s fair market value. It applies regardless of which driver is at fault.
Collision insurance policies are optional in Nevada. However, experts generally recommend purchasing one if the value of your vehicle exceeds the auto insurance premiums you will pay over the next five years.
Collision insurance differs from “comprehensive” car insurance which covers property damage to a vehicle caused by something other than a collision (such as hail, theft, fire, vandalism, or animals).
Collision and comprehensive coverage are often sold together by insurance companies and referred to together as “physical damage coverage.” They can be purchased to cover you in the event of a car accident, a truck accident, or a motorcycle accident in Nevada.
| Insurance type in Nevada | What it covers | Required or optional | At-fault party | Minimum coverage |
| Collision | Damage to your vehicle | Optional | Regardless of fault | Up to your car’s actual cash value |
| Bodily injury or death | Injuries or death of people in the other vehicle | Required | You | $25,000 per person, $50,000 per accident |
| Injury to or destruction of property | Damage to the other vehicle or property | Required | You | $20,000 |
| Med Pay | Your injuries and your passengers’ injuries | Optional | Regardless of fault | At least $1,000 |
| Uninsured/Underinsured motorist (UM/UIM) | Your injuries and your passengers’ injuries if the other driver has little or no insurance or commits hit-and-run | Optional | Other driver | $25,000 per person, $50,000 per accident |
To help you better understand Nevada collision insurance coverage, our Nevada personal injury lawyers discuss the following, below:
- 1. When does collision insurance apply in Nevada?
- 2. What does collision insurance cover?
- 3. How do the deductibles work?
- 4. Is collision insurance worth the cost?
- Additional resources
There are no insurance requirements for drivers to buy collision insurance as part of their liability coverage.
1. When does collision insurance apply in Nevada?
Collision coverage pays for damage to your vehicle resulting from a collision, regardless of who is at fault. It applies when:
- You are struck by another motorist;
- You strike another vehicle; or
- You collide with a stationary object, such as a pole, a tree or a fence.
Collision insurance is optional Nevada auto insurance coverage. You must elect to purchase it as additional coverage and pay a separate premium as well as your mandatory Nevada bodily injury liability insurance (which goes towards medical bills) and property liability insurance. The coverage limit is usually the value of the vehicle.
Unlike many other forms of Nevada car insurance, collision insurance has a deductible. In general, the higher the deductible you choose, the lower your monthly premium will be.
2. What does collision insurance cover?
Collision coverage in Nevada covers all costs of repairing your vehicle that exceed your deductible, and not for any medical expenses.
In the event that the costs of repairing your vehicle exceed its value, collision coverage will pay you the fair market value of the vehicle (less your deductible) instead.
The fair market value is often subject to negotiation. It can be established by reference to objective sources such as
In the case of a classic car, you must generally purchase special insurance from a car insurance company. The value or a method of determining it will be agreed upon in advance – often based on an appraisal by the underwriter or a collectible car valuation guide such as the Old Cars Report Price Guide.
Nevada drivers must carry minimum coverage for bodily injury and property damage, and they must drive with proof of insurance.
3. How do the deductibles work?
Your deductible is the amount you pay out-pocket before your collision coverage kicks in.
Example: Brad has Nevada collision insurance with a $500 deductible. While backing out of a parking space at Caesar’s Palace in Las Vegas, he accidentally hits a car behind him. Brad sustains damage to his bumper that will cost $1,200 to repair. Because Brad’s deductible is $500, he will pay $500 of this expense. His insurer will pay the $700 balance.
Note that if the other car sustains damage, Brad will have to pay it out of pocket or submit the claim to his insurer for payment under his property liability insurance.
Collision coverage is available in Nevada at several deductible levels, typically between $250 and $1,000. The higher your deductible the lower your monthly premium. Premiums also depend on the policyholder’s driving record with the DMV.
4. Is collision insurance worth the cost?
If your car is new or replacing it would be expensive, then collision coverage is usually well worth the cost, particularly if your vehicle is leased or financed.
On the other hand, it usually doesn’t make sense to pay $1,000 in yearly premiums for collision insurance with a $500 deductible if your car is only worth $2,000.
Where the breakpoint is for you depends on your tolerance for risk. However, car insurance coverage experts and insurance agents generally recommend that you purchase collision insurance if the value of the premiums plus deductible you will pay over a five-year period is less than the current value of your vehicle.
Additional reading
For more information, see our related articles:
- How to get your “car repair bills” paid after a Nevada accident
- How to get your “medical bills” paid after a Nevada accident or injury
- How to file a car insurance claim after an accident in Nevada
- How uninsured motorist insurance and underinsured motorist insurance (UM / UIM) works in Nevada
- How “Med Pay” car insurance works in Nevada