Auto Insurance Quote

Car Insurance Coverage What Kinds are There There are five basic types of auto insurance coverage: bodily injury liability, property damage liability, medical payments, uninsured and underinsured motorist coverage, and comprehensive and collision insurance, a two-part coverage which covers physical damages to a vehicle. Although they have big names, most car insurance coverage is self-explanatory and can be figured out in the name of the coverage. Bodily injury liability will pay for any claims made involving bodily injuries caused in an accident, while property damage liability will pay for damages caused to another person's vehicle – or property - in the case of an accident. Medical payments will cover the medical bills of anyone in the policyholder's car or any passengers in that car so the costs don't come out of pocket. Underinsured and uninsured motorists, will save a lot of worry and hassle if involved in an collision where the person who hit you does not have any or has insufficient insurance coverage. This type of insurance coverage, which in most states only covers bodily injury losses - protects a driver from other drivers who might be negligent. The final portions of insurance coverage, collision and comprehensive, will help pay for physical damages to your vehicle. Collision means when or if you are involved in a car wreck, any damages caused to your vehicle, like broken headlights or a dented side panel, will be replaced by the insurance company and not from your pocket. Comprehensive covers things like a broken or cracked windshield or natural disasters, such as storms, earthquakes, fires, and other non-collision oriented accidents. Which state you live in will determine the types of car insurance coverage that you will have to have on your policy. Most states require at least liability insurance at a minimum, and many make sure auto owners have insurance before drivers can even register their car with the state. Still other states use a type of system which doesn't inquire about insurance until drivers have gotten a speeding citation or has been involved in an accident. Determining which kind of car insurance is right for you depends on the situation. If your car is worth a lot of money, you will most likely need a higher amount of insurance coverage. The premium will also be higher if the insurance company is expected to pay a lot. The second part of insurance that you'll have to decide on is a deductible. Generally ranging from $50,000 to $250,000, insurance plans have deductibles that are on average about $500; this will limit how much you pay out of pocket before the insurance coverage will take over. You can set your deductible as high as $1,000 to keep your payments down or set it as low as $200 to keep out of pocket expenses down, depending on your insurance company's regulations. The most important types of insurance coverage are collision and comprehensive so there is some protection in case involved in an accident where your vehicle is damaged or completely totaled. That way no matter what happens, you will most likely always have some sort of protection. How Much Car Insurance Should You Buy? Car insurance isn't very exciting. Depending on which state you live in, it could be a smaller or larger piece of your budget than your neighbors across state lines. How much insurance should you buy? Any insurance agent worthy of their salt will tell you that you should buy as much as you can afford. While this is a good rule of thumb, it's about as useful as a stock broker's tip to buy low and sell high. It might be sound logic but it doesn't get you any closer to an educated decision. There are a few filters that need consideration in order to make that educated decision. First, what is the state required minimum coverage where you live? Second, what does the minimum cover? Third, what other coverage is available and can you afford it? And fourthly, what are you protecting? What is the minimum for your state? You can get up to date state minimum requirements by following this link and selecting your state. State-By-State Requirements (validated June 2006): State Type(s) of Coverage Required Minimum Liability Limits* AL Bodily Injury and Property Damage Liability (effective 6/2000) 20/40/10 AK Bodily Injury and Property Damage Liability 50/100/25 AZ Bodily Injury and Property Damage Liability 15/30/10 AR Bodily Injury and Property Damage Liability 25/50/25 CA Bodily Injury and Property Damage Liability 15/30/5 CO Bodily Injury and Property Damage Liability, Personal Injury Protection 25/50/15 CT Bodily Injury and Property Damage Liability, Uninsured and Underinsured Motorist 20/40/10 DE Bodily Injury and Property Damage Liability, Personal Injury Protection 15/30/5 DC Bodily Injury and Property Damage Liability, Uninsured Motorist 25/50/10 FL Property Damage Liability, Personal Injury Protection 0/0/10* GA Bodily Injury and Property Damage Liability 25/50/25 HI Bodily Injury and Property Damage Liability, Personal Injury Protection 20/40/10 ID Bodily Injury and Property Damage Liability 25/50/15 IL Bodily Injury and Property Damage Liability, Uninsured Motorist 20/40/15 IN Bodily Injury and Property Damage Liability 25/50/10 IA Bodily Injury and Property Damage Liability 20/40/15 KS Bodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist 25/50/10 KY Bodily Injury and Property Damage Liability, Personal Injury Protection 25/50/10 LA Bodily Injury and Property Damage Liability 10/20/10 ME Bodily Injury and Property Damage Liability, Uninsured Motorist, UnderinsuredMotorist 50/100/25 MD Bodily Injury and Property Damage Liability, Personal Injury Protection (may bewailed for policyholder but compulsory for passengers), Uninsured Motorist 20/40/10 MA Bodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist 20/40/5 MI Bodily Injury and Property Damage Liability, Personal Injury Protection 20/40/10 MN Bodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured and Underinsured Motorist 30/60/10 MS Bodily Injury and Property Damage Liability 10/20/5 MO Bodily Injury and Property Damage Liability, Uninsured Motorist 25/50/10 MT Bodily Injury and Property Damage Liability 25/50/10 NE Bodily Injury and Property Damage Liability 25/50/25 NV Bodily Injury and Property Damage Liability 15/30/10 NH Financial Responsibility Only, Underinsured Motorist 0/0/25* NJ Bodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist 15/30/5 NM Bodily Injury and Property Damage Liability 25/50/10 NY Bodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist 25/50/10 NC Bodily Injury and Property Damage Liability 30/60/25 ND Bodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist 25/50/25 OH Bodily Injury and Property Damage Liability 12.5/25/7.5 OK Bodily Injury and Property Damage Liability 10/20/10 OR Bodily Injury and Property Damage Liability, Personal Injury Protection, Uninsured Motorist 25/50/10 PA Bodily Injury and Property Damage Liability, Medical Payments 15/30/5 RI Bodily Injury and Property Damage Liability, Uninsured Motorist 25/50/25 SC Bodily Injury and Property Damage Liability, Uninsured Motorist 15/30/10 SD Bodily Injury and Property Damage Liability, Uninsured Motorist 25/50/25 TN Bodily Injury and Property Damage Liability 25/50/10 TX Bodily Injury and Property Damage Liability 20/40/15 UT Bodily Injury and Property Damage Liability, Personal Injury Protection 25/50/15 VT Bodily Injury and Property Damage Liability, Uninsured and Underinsured Motorist 25/50/10 VA Bodily Injury and Property Damage Liability, Uninsured Motorist 25/50/20 WA Bodily Injury and Property Damage Liability 25/50/10 WV Bodily Injury and Property Damage Liability, Uninsured Motorist 20/40/10 WI Financial Responsibility Only, Uninsured Motorist 0/0/10* WY Bodily Injury and Property Damage Liability 25/50/20 *The first two figures refer to bodily injury liability limits(which are not required in all states) and the third figure refers to the property damage liability limit. For example, 20/40/10 means coverage up to$20,000 for each person injured in an accident, up to a maximum of $40,000 forth entire accident, and $10,000 worth of coverage for property damage. These state minimums are based on the most current information available. In addition, some states are "no-fault" states which additionally require Personal Injury Protection, a.k.a. PIP. You should check your specific state's requirements to verify these figures. What do the minimums cover? Now that you know what your state requires, what are you actually covered for once you purchase the minimum? Using the coverage definitions that follow, find the types of coverage required and see what your state says is the accepted minimum. Coverage Definitions Bodily Injury Liability covers other people's bodily injuries or death for which you are responsible. It also provides for a legal defense if another party in the accident files a lawsuit against you. Claims for bodily injury may be for such things as medical bills, loss of income or pain and suffering. In the event of a serious accident, you want enough insurance to cover a judgment against you in a lawsuit, without jeopardizing your personal assets. Bodily injury liability covers injury to people, not your vehicle. Therefore, it's good idea to have the same level of coverage for all of your cars. Bodily Injury Liability does NOT cover you or other people on your policy. Coverage is limited to the terms and conditions contained in the policy. Comprehensive Physical Damage Coverage Covers your vehicle, and sometimes other vehicles you maybe driving for losses resulting from incidents other than collision. For example, comprehensive insurance covers damage to your car if it is stolen; or damaged by flood, fire, or animals. Pays to fix your vehicle less the deductible you choose. To keep your premiums low, select as high a deductible as you feel comfortable paying out of pocket. Coverage is limited to the terms and conditions contained in the policy. Collision Coverage covers damage to your car when your car hits, or is hit by, another vehicle, or other object. Pays to fix your vehicle less the deductible you choose. To keep your premiums low, select as large a deductible as you feel comfortable paying out of pocket. For older cars, consider dropping this coverage, since coverage is normally limited to the cash value of your car. Coverage is limited to the terms and conditions contained in the policy. Medical Payments covers medical expenses to you and your passengers injured in an accident. There may also be coverage if as a pedestrian a vehicle injures you. Does NOT matter who is at fault. Coverage is limited to the terms and conditions contained in the policy. Uninsured Motorist Coverage covers bodily injuries to you and your passengers when the other person has no insurance or not enough insurance in a crash that is not your fault. In some states, there is also uninsured motorist coverage for damage to your vehicle. Given the large number of uninsured motorists, this is very important coverage to have, even in states with no-fault insurance. Coverage is limited to the terms and conditions contained in the policy Personal Injury Protection Coverage covers within the specified limits, the medical, hospital and funeral expenses of the insured, others in his vehicles and pedestrians struck by him. The basic coverage for the insured's own injuries on first-party basis, without regard to fault. It is only available in certain states. Property Damage Liability covers you if your car damages someone else's property. Usually it is their car, but it could be a fence, a house or any other property damaged in an accident. It also provides you with legal defense if another party files a lawsuit against you. It is a good idea to purchase enough of this insurance to cover the amount of damage your car might do to another vehicle or object. Coverage is limited to the terms and conditions contained in the policy. Rental Car Reimbursement covers renting a car if your car isn't drivable or while your car is being repaired because of a covered accident. What else is available and can you afford it? Did you come across a coverage and think, "I need that but it isn't required by state law" when you were reviewing the coverage definitions? Chances are you did. Can your budget afford the additional expense of these protections? Or maybe more to the point; can you afford NOT to have these additional protections? At CarInsurance.com it's easy to get multiple quotes all with a click of your mouse. And during the quoting process, it's simple to add or remove coverage to see how additional coverage will affect your budget. You can learn more about Insurance Coverages by following this link. What are you protecting? What assets need to be protected from being plucked away if you cause injury or damage? A) Your car itself. If this is a significant asset, or at least the bank you owe money to thinks so, then you will need comprehensive and collision. B) Your net worth. Do you have an enormous net worth to protect. If so, either get it out of your name and into a trust or buy all the insurance you can. If you have little or nothing to protect, then you can get by with less and still be financially responsible. However, after you determine how much protection to get, always ask how much more it is for the next level higher. Very often, you can get significantly more coverage for very little cost. Car insurance isn't flashy. There is no "wow" factor and the opposite gender isn't going to be impressed by the size of your policy. But not having enough can be the difference between financial stability and financial ruin. For what its worth, CarInsurance.com finds financial stability incredibly appealing. Disclaimer: This article is for information purposes. It should not be interpreted as a recommendation to buy or sell any insurance product, or to provide financial or legal advice. This information is provided for information purposes only. Paying Damages Made Easy Through Auto Insurance Nowadays, life threatening events are always present. We may never know when these occurrences would hit us. Along with following safety rules and abiding the law, we also have to insure ourselves from the possibility of engaging in an accident. Acquiring auto insurance would give us the aid we need in case of future misfortune that might happen. This would be of great help in providing you certain assistance on financial basis of the obligations you'll be faced when paying for the damages caused by the event. Auto Insurance • Serves as your safeguard from financial deficit in case of a car accident. • It is a treaty between the concerned party and the insurance company wherein there is an agreement of paying the premium and the insurance company in return will pay the losses which resulted from the accident. Coverage of auto insurance 1. Property – the insurance company is entitled to pay the damage caused by an accident or if there's an incident of theft. 2. Liability – if there are others involved in the accident, the insurance company will cover the expenses of your legal obligations. 3. Medical – in case of hospitalization, medications or funeral expenses, the insurance company will take over with the cost. Different Liabilities covered by an auto insurance policy 1. Bodily Injury – this covers both the damage caused to family member and other parties as well. In case of driving somebody's car, you and your family which are listed on the insurance policy are also covered. 2. Medications or PIP (personal injury protection) – this covers the needed medication and rehabilitation of injured driver and/or passengers of the insured car. Funeral expenses are also included in the coverage. 3. Property Damage – this includes damages caused to someone else's property such as cars, telephone poles, buildings, etc. The insurance is responsible in paying the damages the accident had caused. 4. Collision – if your car was damaged by an accident involving another car or object, or an occurrence that made your car to flip over, then the coverage will pay for the damages caused depending on whose fault it was. 5. Comprehensive – this coverage entitles you of reimbursements in case of thefts or damages on your car caused by some external factors more than that of a collision. Examples of which are environmental calamities, national catastrophes, etc. 6. Uninsured Motorist (or underinsured) – if in case you were hit by an uninsured driver, this entitles you of a reimbursement of the cost of damages acquired. This is helpful if the at-fault party involved inadequate insurance to compensate with the damages he/she had caused. Choosing the right insurance company • The company should be licensed to operate. You could ask for help through your government insurance department if the insurance company fails to help you in paying the damages. • Take into consideration the cost of the insurance. There are a lot of insurance companies which offers same coverage with low cost. • Check the financial solidity of the company. The reason behind you buying auto insurance is to provide you peace of mind on financial obligations in case of accidents. The company should have proven its reliability in offering good service. • The company with its representatives must give quality service in attending with their customer's needs. They must treat every questions and claims fairly and proficiently. • The company must provide comfort to its consumers. Its accessibility to its customers must always be the priority to avoid misleading or having the wrong impression about the company's service.