Are you trying to find better car insurance at affordable rates? Join the thousands of Americans who are enjoying great cover and lower premiums. Our simple online form will give you the power to compare multiple car insurance quotes in minutes and the freedom to choose the right policy for you. Its fast, easy and secure!
Do I really need car insurance?
Many motorists across the country are wondering if auto insurance is actually required. The short answer is ‘yes’. In pretty much all states you are required by law to have liability insurance. The only exception is New Hampshire where you don’t have to purchase auto insurance if you can show a proof of financial responsibility. Of course, most people don’t have thousands of dollars in the bank and opt for the sensible choice of purchasing auto insurance.
Wondering what is the worst that can happen if you driver uninsured? Well, it does depend on the particular laws in your state, but you will definitely have to pay a hefty fine. In some cases, especially for repeated offences, your driving license may get suspended and in rare instances you may even face jail time. If you cause an accident and you don’t have car insurance, you may face some serious financial difficulties. Just ask yourself can you afford to pay thousands for personal injuries and proparty damage? The cost of medical treatments and car repairs have sky rocketed in recent years.
If you think about it, driving without car insurance is not only illegal, but it is financially irresponsible too. Even if your premiums seem expensive, they are a small price to pay for having a peace of mind.
How much cover should I get?
In order to make the right decision, you need to know what are the car insurance requirements in your state. Check if you live in a No-Fault insurance state or not. Personal injury protection (PIP) and uninsured motorist coverage are also required in some states.
What you need to remember is that the liability limits in each state are just the required minimum level of cover. If you consult an insurance professional, you will probably be advised to get more than the bare minimums. In Ohio for example, the bodily injury liability limit for a single person is only $12,500 and $7,500 for property damage. If you cause a major accident these amounts will hardly be enough to cover everything and you will have to pay the rest yourself.
In summery, make sure you understand the auto insurance laws and requirements in your state, get as much cover as you feel comfortable with and if in doubt, consult an insurance agent.
How are car insurance rates calculated?
Most insurance companies determine car insurance rates using similar principals, but different formulas. In reality, auto insurance is a very personal thing and even people driving the same car should expect to pay different insurance premiums. Apart from the vehicle you drive, some of the other factors used to calculate rates are gender, age, driving history, annual mileage, credit score, place of residence and even occupation. The amount and type of cover you need will play an important role too.
In general, a mother of two who is mostly using the family SUV to drive her kids to school, will enjoy lower premiums than an inexperienced young driver who has already caused an accident. If you think that your credit history has nothing to do with car insurance, you are not alone. Still, in recent years insurers have been using credit scores as an important indicator when rates are calculated. Their logic is that if you always pay your bills on time, you are a responsible person who is less likely to cause an accident.
If you are told that you need SR22 insurance or that you are a high risk driver, you can expect your premiums to increase and even sometimes double.
What discounts can I get?
Car insurance is a tough business and most insurance companies are battling for new customers. That is one of the reasons why there are special discounts and promotions often applicable to new policies. You can enjoy even lower premiums if you combine your car and home insurance.
It may come as a surprise to you, but students with good grades can also be rewarded with car insurance discounts. Don’t forget to mention to your insurer if you have taken any advance driving classes as it shows you are a responsible driver. Safe drivers sometimes pay up to 45% less.
Your car can save you money too. Anti-theft devices and safety features like air-bags are often worth additional discounts.
How much can I save by comparing car insurance quotes online?
Some customers save as much as $450 which is rather good for simply filling a quick online form. Apart from saving your hard earned cash, you could also save yourself a lot of time and effort. Just imagine how long would it take to ring 5 different insurance companies and repeat the same details over and over again. Exactly! Put yourself in the driving seat and make the insurers fight for your business.