The Insurance Zone – What Exactly is 'Comp'?

The term “Comp & Collision” is tossed around a lot in insurance. Most everyone understands that “Collision” means your vehicle collided with another or flipped, but what exactly IS “Comp”?

The term “Comp & Collision” is tossed around a lot in insurance. Most everyone understands that “Collision” means your vehicle collided with another or flipped, but what exactly IS “Comp”?

“Comp” is short for “Comprehensive” and is part of the “Physical Damage” Coverage you purchase as insurance coverage for the value of your vehicle.

Years ago, there was no “Comp”; it was just “Fire and Theft”. Some policies still offer this limited coverage, so be careful. “Specified Perils” is another one to watch…it limits coverage.

You want “Comp” because it’s the most expansive coverage. “Comp” includes Fire and Theft, PLUS “All Other Causes of Loss”, which includes Vandalism, Weather Damage, Animal Hits and Windshields. So you pay your out-of-pocket deductible, then the insurance company pays for the damage.

You really do get what you pay for in insurance. If it seems too good to be true, then use your head and read the fine print or work with an Agent you trust.