Which type of insurance ensures coverage immediately following an accident?

No-fault insurance is designed to provide immediate coverage for individuals involved in an accident, regardless of who is at fault. This type of insurance allows policyholders to receive compensation for certain losses, such as medical expenses and lost wages, from their own insurance provider without needing to determine fault. The primary purpose of no-fault insurance is to streamline the claims process and ensure that individuals receive prompt assistance following an accident, which can significantly reduce the burden during a stressful time.

In contrast, liability insurance focuses on covering damages caused to other parties when the policyholder is at fault, meaning it does not provide immediate coverage to the insured party following an accident. Comprehensive insurance typically covers non-collision related incidents, like theft or natural disasters, rather than accidents, while collision insurance is intended for damages to the insured's own vehicle but does not guarantee immediate coverage in all circumstances. Therefore, no-fault insurance stands out as the type that ensures coverage immediately following an accident.