Collision. This pays for damage to the policyholder’s car regardless of who was at-fault for the accident. Most companies will only pay up to car’s book value if the car is totaled. Drivers often forgo collision when their car is old and/or not worth very much. This pays for damage to a policyholder’s vehicle that is the result of something other than an accident, such as theft or fire. Uninsured motorist/underinsured motorist (UM/UIM). These options reimburse policyholders if they are hurt in an accident caused by a hit-and-run driver, a driver who has no insurance, or one whose coverage is not enough to pay for damages.