Texas Property and Casualty License Practice Exam

Which type of property may not be covered by collision insurance in a personal vehicle?

1. Personal property in the car

2. Sound and video equipment

3. Aftermarket upgrades

4. All of the above

The correct answer is: All of the above

Collision insurance specifically covers damage to your vehicle resulting from a collision with another vehicle or object. However, the types of property that typically fall outside this coverage include personal items inside the car, sound and video equipment, and aftermarket upgrades. Personal property in the car is not included in collision insurance, as the policy primarily focuses on the vehicle itself rather than personal belongings. If personal items are damaged in an accident, they would typically be covered under a homeowner's or renter's insurance policy instead. Sound and video equipment is often treated the same way; while the vehicle may be insured, any non-factory installed items or modifications usually require separate coverage. Factory-installed sound systems may be included in the overall vehicle coverage, but aftermarket additions are generally excluded. Aftermarket upgrades, such as modifications that improve the vehicle's performance or aesthetic, are also not covered by collision insurance. These enhancements usually necessitate additional insurance coverage specific to customizations. In the context of these details, it becomes clear that all mentioned types of property—personal belongings, additional sound and video equipment, and aftermarket upgrades—are not typically covered under collision insurance. Hence, that option encapsulates the idea that all listed items may be considered outside the purview of collision insurance coverage for a