What does "loss of use" coverage provide in auto insurance?

"Loss of use" coverage is designed to compensate the insured for the inability to use their vehicle due to damages from a covered accident or incident. This means that if a vehicle is being repaired or is otherwise unavailable because of an accident, this coverage helps cover the costs associated with not having access to the vehicle. It can include expenses related to renting a vehicle or other transportation costs incurred while the covered vehicle is out of service.

This type of coverage is particularly important for individuals who rely heavily on their vehicles for daily activities, such as commuting to work, running errands, or attending appointments. It alleviates the financial burden of needing alternate transportation during the repair period, ensuring that the loss of use does not have an overwhelming impact on the policyholder's lifestyle.