Car Insurance Guide

We get it. Most people groan at the thought of researching and deciding on car insurance. Even though it isn’t the most glamorous task, it’s imperative. Not only for you as a driver, but also your passengers.

However, some car insurance companies can make the process difficult to understand. Between deductibles and different coverage types, policies can quickly become confusing. But that’s why we’re here. But thanks to this simple guide, we’re making finding the right car insurance easier than ever.

You can also get a jump start in comparing rates by entering your zip code into our free car insurance comparison tool.

Liability Coverage

First thing’s first — liability insurance is a legal requirement in most states.  What is it exactly? The liability portion covers any injuries incurred by you, your passengers, or any passengers in a vehicle involved in an accident you caused. From medical bills to funeral costs, the bodily injury liability policy is necessary to cover these extreme costs.

Drivers should be aware that their coverage should be comparable to their assets. In other words, people with a lot of assets should have higher coverage rates so that they are not legally responsible for a cash payment toward medical bills.

Consumers also should be aware that higher coverage rates will normally require a more expensive premium per month. However, an accident can occur at any time, so it is best to be covered for peace of mind.

Uninsured/Underinsured Motorist Coverage

As risky as it is, some people just don’t carry car insurance. Others don’t have enough coverage. Should you end up in an accident with one of these drivers, the financial ramifications could be devastating. This is where Uninsured/Underinsured motorist coverage comes in.

Uninsured/Underinsured coverage provides funds in the event of an accident involving a person with very little coverage or a basic hit-and-run situation.

Without this coverage, a person is left to pay for medical bills and auto body work out of pocket — costs drivers should seek to avoid at all costs.

Property Damage Liability Coverage

Here’s the scenario: You’re driving down the road, listening to your favorite podcast. Everything is going great until suddenly you begin to lose control of your car. Before you know it, you’ve not only run into another vehicle, but you’ve also knocked down someone’s mailbox and fence in one fell swoop.

It’s for scenarios like this that drivers should consider making property damage liability coverage a priority.

That’s because any property – such as road signs or protective road fencing – damaged during an accident will be fixed accordingly without money coming out of the driver’s pocket.

Accidents can incur a lot of damage, depending on the speed and angle of the vehicle’s accident. Drivers will feel much more comfortable driving with this coverage.

Collision and Comprehensive Coverage

Albeit optional, drivers should strongly consider having collision and comprehensive coverage.

• Comprehensive coverage typically comes into play when a vehicle is damaged by natural causes – such as a flood – or is outright stolen
• Collision covers repairs or the replacement of the vehicle in the event of an accident.

Keep in mind, drivers should evaluate their vehicle for the coverage type. Older vehicles may not be worth the monthly premium to keep either of these coverages, but newer vehicles should have a reasonable deductible chosen so that the driver does not lose the value of the vehicle in the event of an accident.

Researching Insurance Quotes

The good news for any driver? You’ve got options when it comes to comparing car insurance quotes, from visiting a local agent to calling various community companies. However, if speed is your thing, online quotes will be your best bet.

A legitimate insurance company will usually require a form to be filled out that can take as much as 15 minutes. However, do not be put off by this amount of time — the more information the company has about you and your driving habits, the better quote they can provide.

Another tip? Don’t settle for the first one or two quotes you get. Seek out several quotes in one place, beginning with our free quote comparison tool. Bottom line? No one wants to pay a high premium every month. Researching various companies will pay off in the end.

Keep on Top of Your Quotes

Most car insurance policies are contracted for six months to a year. At the one year point, research other companies for a better quote; if you have been accident-free for the year, it is possible that your rates will drop with new companies.

However, do not jump around to different insurance providers if the savings are minimal. Many insurance companies offer discounts to loyal customers that stay with a continual policy for several years. Ask the company about their loyalty programs to receive the desired discount.

Overall, the right car insurance depends on your driving habits and personal needs. Comparing quotes is the best way to receive the fairest deal. Start now by putting your ZIP code into our free car insurance comparison tool.