What type of coverage is Coverage D in a Personal Auto policy?

Coverage D in a Personal Auto policy refers to "Coverage for Damage to Your Auto," which typically includes coverage for physical damage to your vehicle from specified perils. This coverage is considered optional because policyholders can choose whether to include it based on their individual needs and circumstances. The flexibility to add or omit this coverage allows drivers to tailor their insurance policies to suit their financial situations and risk tolerance, which is a hallmark of optional coverage types.

While liability coverage is mandated for most drivers to protect against claims arising from bodily injury or property damage caused to others, Coverage D is not required by law. This distinction is what categorizes it as optional, allowing individuals to make informed decisions about the protection of their own vehicles based on personal preferences and resources.