If you drive, you need auto insurance; it's an easy enough fact. Paying for car insurance may be another issue. When you have questions, it may not be easy to find the answers. Here are some commonly asked auto insurance faqs.
What is the most basic form of auto insurance? Liability coverage is mandatory in almost every state in the US. This means that you will cover the costs of fixing the other drivers vehicle in the event you are in and cause an auto accident. Most states will not allow you to register your car or get your drivers license without having at least liability coverage.
How much coverage do I need? While there's no sure fire answer here, there are formulas that are used to get the closest and best answers. This involves looking at your demographic area as well as your age group of drivers and calculating the level of risk you run for accidents, damage and theft.
Do I need to cover my vehicle with comprehensive coverage? Well, this is truly up to you, and whether or not you can afford the coverage, but it truly is the best way to go when you're getting an auto insurance policy. Comprehensive covers things like broken windshields, damage done by storms, other people who may have been trying to deface your property, or worse. Think about how hard it would be to pay out of pocket for the repairs if you don't have the coverage on your auto policy.
What kind of riders should I add to my policy? Again, it's a matter of personal opinion and based on how much you can afford to pay each month for coverage. However, the more coverage you have, the better. We just never know what fate is going to throw our way, so best to be fully covered for the unexpected and have too much coverage, instead of too little.
Remember, once that first incident happens, it's too late to get the coverage and it will never be retroactive.
What happens if someone hits me and they don't have auto insurance? Thousands of Americans face this challenge, every day. If someone causes an accident and they aren't covered by an auto insurance policy, unless you've taken uninsured or under insured motorist protection on your auto policy, you will be fully liable for all damages that occur to you and your property. Getting this coverage will make sure that you aren't penalized by someone else and their lack of concern. These auto insurance faqs are not all encompassing but should be a good starting point for your quest.
