Who needs Auto Insurance?
Every car and driver needs to have auto insurance. Insurance can cover you in the events of theft, fire, collision, personal injury to yourself or others, damage to property, and even damage or injury caused by other uninsured motorists. Insurance is so important that having auto liability is required by law in 48 states. What auto insurance does is protect the driver that has the policy against any losses financially, should an automobile accident occur. You pay a premium on an agreed upon schedule and the insurance company will pay any losses as your policy defines them. Insurance can even cover your monthly car payment if you choose! And it is so easy to get started. Simply type your zip code into the form above to start receiving free, no obligation auto insurance quotes.
What Type of Financial Losses are Covered?
The insurance company protects the insured driver against a variety of financial losses such as medical care to the driver and anyone else involved in the accident, liability and property damage. It covers the cost of damage to yours and/or the other person involved in the accident or if your car is stolen. Medical expenses can also include not just injury coverage but that of rehabilitation, wages from lost time at work and if necessary, funeral costs.
Why Do I Have to Have Auto Insurance?
Auto insurance is not voluntary; it is necessary and in most states it is the law. Most states require drivers with cars to purchase auto insurance and keep coverage continuous. If your insurance lapses for any reason such as failure to pay your premium, the Department of Motor Vehicles can impose fines if you don’t turn in your plates. Once you have a new policy or pay the premium on the old, coverage goes back into effect once the fines to the DMV have been paid.
How Long Does Auto Insurance Last?
Typically a driver will have either a six month or one year policy. Many insurance companies have flexible schedules as to paying your premium. You can be billed monthly, bi-annually or annually depending upon your preference and the auto insurance policy.
How is Your Premium Determined?
There are various factors involved in how much a particular person will be charged for auto insurance. If you have a clean driving record, are over a certain age and are married your premium will usually be lower than someone that has points on their license for moving violations or accidents. Males under 25 typically pay a higher premium than do females. Additionally if a man is married often the premium is even lower.
Whether or not your state requires you to maintain auto insurance, it is something that every driver should have. It doesn’t matter if you think you are a good driver or not, the other driver involved in the accident may not be. An accident without insurance can cost big bucks for medical care, repairing the car and your liability in the accident if it is deemed the accident was your fault.
Finding the best rate is usually to the driver’s advantage and with the internet it is easier than ever to compare insurance quotes. Most insurance companies want your business but your driving record and life circumstances will come into play no matter how cheap an insurance company claims to be.