Your policy coverage limits are the maximum amount of money that your insurance company is required to pay to the other person on your behalf. That's why nearly every state requires motorists to have insurance for their vehicles. The minimum amount of insurance you need varies by state, but most states require that you have at least liability insurance. However, in most cases, you don't want to settle for the minimum amount of insurance required.
Most states require at least some type of liability insurance, but these minimum levels often don't cover the actual costs of bodily injury or property damage, forcing at-fault drivers to pay for the additional damages out of pocket. That's why it's a good idea to opt for a policy that pays more if you can afford it. When you have liability insurance and the other forms of coverage required in your car insurance policy, you don't need to buy more coverage. However, you should be aware that this could expose you to potentially high costs in the event of bodily injury and damage to the vehicle.
By adding these three types of car insurance coverage, you'll be covered in almost every possible situation. Use the form on the right to provide us with basic information and we'll get back to you within 24 hours. A basic auto insurance policy includes liability coverage and meets the minimum legal insurance requirements. Now, there are a lot of different types of car insurance.
The most important are liability, comprehensive and collision coverage. We call them the three big basic car insurance coverages you can't afford to do without. If you have all three, it means you have full coverage. Temporary car insurance is an option for drivers who plan to drive a car for only a short period (usually six months or less).
This type of insurance is an especially good idea if you have a new car that would be expensive to replace. In addition, supplemental insurance typically offers a broader form of protection than liability insurance for things like legal fees, false arrests, and even slander. The normal compulsory car insurance that they normally want you to have, in addition to liability coverage, are collision insurance and comprehensive insurance. New Hampshire and Virginia are the only two states that don't require liability insurance for cars (although you'll have to meet other requirements).
It's hard to know how much car insurance you need because, let's face it, even basic car insurance is confusing. The cost of collision insurance varies depending on your driving record, the value of your car, and the amount of the deductible. Whether you're covered by health insurance or not, medical payments coverage (MedPay) pays for reasonable medical expenses for you, your passengers, or any member of your family involved in a car accident, no matter who is at fault. The right types and amounts of car insurance can really save your financial life with less pain than electrolysis.
Collision insurance is a type of car insurance coverage that pays for the repair or replacement of your car if you're involved in an accident, regardless of who was at fault. For example, if you can't afford the cost of replacing your car if it's destroyed in an accident, you should seriously consider taking out collision insurance. This means that your costs after an accident could easily be higher than those offered by your basic car insurance. Full coverage insurance is an insurance policy that protects your vehicle against damage related and unrelated to accidents, ensuring that you are covered regardless of fault.
Comprehensive insurance is generally considered to be a good investment, as it is cheaper than other types of car insurance and covers events that are beyond your control as a driver. As the cost of new and used cars continues to rise, the average duration of an auto loan is about six years, making GAP insurance more popular than ever.