What does collision insurance provide coverage for?

Collision insurance is designed specifically to cover the repair or replacement costs of your vehicle when you are involved in an accident, regardless of who is at fault. This means that if your car is damaged in a collision with another vehicle or an object (like a tree or a fence), collision insurance will help pay for the costs associated with getting your vehicle back on the road.

In this context, it’s important to understand that collision insurance does not cover medical expenses for drivers or passengers, nor does it address liabilities to third parties, such as damages to another person's vehicle or medical bills resulting from the accident. Additionally, it will not cover costs related to hazardous material cleanup, which typically falls under different types of insurance. Therefore, the primary function of collision insurance is indeed focused on the direct damage to your own vehicle, making the chosen answer a clear representation of its coverage.