Car insurance is one of those subjects that no one wants to talk about. When you’re thinking about what car insurance coverage is right for you, all you feel is a headache. There are so many options—collision coverage, comprehensive coverage, liability, uninsured motorist—and all that doesn’t even include the various levels of deductible. Thankfully, if you use the Internet you can find a lot of help. In this article, I’ll show you how to use online resources to find the car insurance option that’s right for you.
Car insurance can be complicated, as there are a variety of different coverage plans offered. How do you know which policy is best for you and your car? When choosing a car insurance policy, there are a variety of things to consider. Most states require drivers to purchase some form of liability coverage, which covers damage or injuries to other people and their property in the event of a crash. Most states have minimum levels of coverage drivers must purchase, but drivers have the option to purchase additional coverage if they desire.
If you drive, you need car insurance. Period. But how much should you buy? Most states have a minimum requirement for liability coverage, which is how much insurance you have to cover damages you might cause to other people if they’re in a wreck in your car. But it doesn’t cover property damage to your car, which can be costly.
Liability coverage is an insurance product that covers damages that you cause to someone else’s property, or to somebody else’s person. It covers any medical bills and property damages that result from an accident for which you could be sued. Some examples of damages include pain and suffering, loss of consortium, or lost wages. You are required to have a minimum level of liability coverage in all states, including minimum coverages of your auto, life, and health policies.
Car insurance is a mandatory requirement. Not having it can get you in big trouble very quickly. And you may not even realize if you’re covered. According to the Insurance Information Institute, 19 states require car insurance companies to offer medical coverage, also known as personal injury protection (PIP), to policyholders. However, PIP coverage varies from state to state, and many policies waive the coverage if you don’t ask for it.
How much you pay for car insurance depends on (1) your driving record, and (2) the type of car you drive. The make and model of your vehicle might influence your rate as well, since fancy luxury cars are pricier to insure than a simple family sedan. That’s why it’s always good to consider your budget, your driving history, and the cost of your car before you purchase one.
Comprehensive car insurance is the type of coverage you’ll be able to find on just about every insurance policy. This type of coverage, which includes several types of coverage, protects your car in the event of a loss. This may include things that could happen, such as theft, vandalism, fire, and hitting an animal or pedestrian. Comprehensive coverage may also cover damages that occur during the policy period, such as if your car is damaged in a parking lot or your garage by falling objects (like a tree branch or a brick from a building).
Full comprehensive coverage is the most comprehensive coverage that auto insurance companies offer, and it protects you from a wide range of damages, including collisions, fires, floods, vandalism, hitting an animal, theft, and other misfortunes. While comprehensive car insurance doesn’t cover things like accidents involving other vehicles or injuries, it’s intended to cover any damage caused by your vehicle in an accident or from some other incident. Comprehensive coverage is typically the cheapest type of car insurance, but you should be prepared to pay a higher deductible.
It’s common knowledge that when you buy car insurance you hope you never have to make a claim. But, if you do, you’ll be glad you have collision coverage. Collision coverage, also known as “no-fault” coverage, will pay for repairs to your car after a collision that is not your fault.
Most drivers have auto insurance to provide them financial assistance if they are injured or their vehicle is damaged in an accident. Car insurance collision coverage, otherwise known as “collision coverage”, helps pay for the cost of repairs to your vehicle after a collision. Your deductible needs to be met before insurance payments are made. This amount can range from $0 – $1000.
Uninsured/Underinsured Motorist Coverage
Driving without car insurance is illegal, and it’s a crime that can lead to serious consequences. But if you drive without car insurance, you’re probably innocent. You’re probably not even aware that your car insurance doesn’t cover you. You believe that your coverage is comprehensive, and that the only things it protects you from are theft and damage.
In many states, it’s illegal to drive without car insurance. Others require that you have “financial responsibility” to cover any damages you cause to others. But what does that entail? Often times, financial responsibility means having uninsured/underinsured motorist coverage. Here’s what you need to know about this coverage and whether you should have it.
Medical Payments Coverage
Car insurance medical payments coverage (or MedPay, for short) is an optional insurance that helps pay for medical costs related to an auto accident. Most states require that car insurance include this coverage, and no-fault states usually require that the coverage include at least $10,000 in medical payments coverage (though the amount varies by state).
While car insurance medical payments coverage is a necessary and worthwhile addition to your policy, it’s complex. In the eyes of the law, medical payments coverage is mandatory, but insurance companies are allowed to charge whatever fees they want. Each company handles the fees differently, so it pays to do some shopping around.
In summary, the answer is probably “All of the above.” Auto insurance is complex. There are seven different coverages, and they’re all optional. You may not need all of them, or you may need different amounts, or you may need different coverages for different drivers. Quite frankly, the right coverage for you is the one that fits your needs and your budget.
Choosing the best auto insurance policy that meets your needs can be a daunting process. Luckily, our car insurance experts are here to help. If you can’t find what you’re looking for, give us a call today.