Understanding Your Auto Insurance
Your auto insurance is an important part of your responsibility as a driver and is required by almost every state in the country. Unfortunately not every driver has taken the time or effort to understand their insurance properly and does not always understand the coverage that they have or don’t have. It is important to take the time to understand your insurance so you know what is covered and not covered and not be taken by surprise when it is time to make a claim against your insurance.
Your insurance is comprised of several parts, some of which are required by the state other parts of which are required only if you have a bank loan. In most cases you should still carry those parts required by the bank as well since they will pay your losses and help to replace or fix your car should it be damaged or totaled.
The first part your insurance is the liability insurance, this includes two parts, property damage liability that will cover the cost of another person’s vehicle in the event of an accident that is your fault and bodily injury liability that will cover the costs of injuries to the persons in the car. These two insurances will not only protect you legally against any claims made against you they are required by law in most states to cover injured parties when you are at fault in an accident.
Another type of auto insurance that you will want to have that protects you from claims made against you is the medical coverage, this is often a part of liability insurance but you should check to make sure that it is included. Medical coverage covers medical costs for any passenger in your vehicle, in the event of an accident that is not covered under anyone else’s insurance. It will also cover you if you are driving another person’s car.
While all of these insurances covers other parties in an accident that is your fault the following insurances will cover your damages and make sure that your property and medical bills are covered in full should you suffer damages due to an accident that is deemed to be your fault. Collision is the insurance that covers any damage to your car should you get into an accident with another vehicle or object. This is one of the insurances that the bank will require on your car if you still owe money on it, this is to protect their investment.
Comprehensive is the other part of the insurance required by banks, this type of insurance covers your vehicle against theft, fire and vandalism which are the types of damaged not covered by collision.
There are other types of insurance also available, that may be offered to you as well as different levels of insurance in the existing five discussed. All of these types of insurance can raise and lower your insurance costs depending on what you choose. For instance you can choose more liability insurance than is required by your state which can be a good idea since many of the vehicles on the road cost more these days and can leave you with a huge bill after your insurance has paid its portion if you are not careful.
Towing insurance is also available as part of your insurance as is insurance that covers things such as floods. Keep in mind that these types of insurance are all optional and vary depending on the insurance company and may or may not be available from your chosen insurance company.
Finding the right insurance means getting lots of quotes, all of these insurances vary widely depending on the insurance company and what they offer and how much they charge so it is helpful to do a lot of shopping around and comparing before you buy. Even if you think you have the cheapest insurance around, you can benefit from going through the quote process, since a company that has the cheapest home insurance may not have the best car insurance and you may find that one company has a better multi car discount while another offers better insurance for SUVs.
When you are ready to go looking for car insurance and have a proper understanding of the type of insurance that you need it is time to look for a place to get your quotes from. At 2 Insure 4 Less we offer free Insurance quotes for not only your car but also for all of your insurance needs. This can save you money if you choose to use one company for more than one type of insurance and can offer you the best savings by allowing you to compare all of your quotes.
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