How To Shop For Car Insurance

June 5th, 2018 by

If you are in the process of buying or leasing a vehicle, one of the requirements before finalizing the deal is having proof of insurance. A major responsibility that comes with car ownership is car insurance. Auto insurance is required by law in most states.

Types of Insurance Coverage

Every state has a set minimum liability coverage that must be maintained by all car owners. An auto insurance coverage will protect you, your passengers and your vehicle in the event of a car accident. The main types of insurance coverage are;

Liability coverage

When you are at fault, bodily injury liability will help cover costs related to another person’s injuries, while property damage liability will help cover costs related to property damage.

Comprehensive coverage

To protect yourself from damages related to fire, theft, vandalism and natural disasters, comprehensive will help cover for such unexpected events. A deductible is has required (amount paid out of pocket before insurer reimburses you for a covered claim).

Collision coverage

This coverage helps you in the event you are involved in an accident with another vehicle or object, whereby repairs or vehicle replacement is expected.

Medical payments coverage

In case you or passengers in your vehicle are injured in a car accident, medical payments coverage will help cover costs related to injuries sustained.

Personal injury protection

Also known as PIP. Similar to medical payments coverage, personal injury protection will help pay for medical expenses as well as other costs incurred because of your injuries. PIP is required in some states and has a cap.

Uninsured and underinsured motorist coverage

Accidents caused by drivers without insurance or drivers with liability limits which are not enough to cover resulting medical bills will be covered by uninsured and underinsured motorist coverage.

 

Factors That Affect Your Rates

  1. Driver’s age – drivers under 25 years may pay higher rates because they are considered a risk.
  2. Driving history – past accidents claims or traffic citations can raise your rates.
  3. Make and model of vehicle – luxury vehicles rates are usually higher.
  4. The zip code you live in – rates vary from one zip code to the other.
  5. Vehicle antitheft and safety features – equipped vehicles will have lower rates.

Request Quotes Online or Via Phone

Based on your state’s coverage requirements, get in touch with several insurance companies and compare the prices. With the advancement in technology, you can receive an instant car insurance quote online on most insurance websites or by calling. To receive an accurate quote, you will need to provide some details on the driver/s like; age, gender, driver’s license number, car description (VIN) and the type of coverage.

 

Top 10 Car Insurance Companies

  1. AAA
  2. Allstate
  3. Arbella
  4. Farmers
  5. Geico
  6. Esurance
  7. Liberty Mutual
  8. Nationwide
  9. Progressive
  10. State Farm

Save on Car Insurance By Bundling Policies – Ask for Discounts!

Most insurance companies will provide a discount when you bundle your car insurance with home or renters insurance. Inquire about all the discounts available when requesting a quote.

Posted in Auto Insurance