|Question: Is hail damage covered under a typical auto insurance policy?|
Yes. The other-than-collision (also known as comprehensive) coverage section of your auto insurance policy protects your vehicle against damage caused by something other than an accident, such as a natural disaster like hail.
Of course, what you get as a settlement may not cover your full loss. You'll be responsible for paying the out-of-pocket deductible first. After that, the insurance settlement kicks in to reimburse you for some or all of the remaining balance. The amount you get depends on whether your coverage is based on the replacement cost or on the actual cash value of the damaged parts. Unless your policy specifies that you have replacement cost coverage, you'll be reimbursed based on the actual cash value.
As you might guess, replacement cost is the total cost of repairing the damage to your vehicle using parts of similar type and quality. The actual cash value is the replacement cost less depreciation (i.e., the decrease in the value of the parts due to age and wear and tear). The older the car when the damage is done, the greater the deduction for depreciation. Although replacement cost coverage is more expensive, the extra protection may be worth it in the long run if your car is particularly valuable.