Car Insurance – Finding a Beneficial Plan

In order to get a good car insurance quote, it’s important to do your research. There are so many variables, and they vary from state to state. Most states have minimum requirements that every driving has to abide by. Before purchasing a car insurance policy, be sure to find out what type of minimums are associated with your state laws.

When you speak with a local representative, today’s agents will tell you what the minimums are going to be. However, this does not mean you have to stick with those choices. If there are certain areas to the policy where you need to increase the amount, take the time to do so. Just remember that every increase will increase your premium. However, don’t sacrifice the insurance for a lower monthly payment.

Let’s go over some of the pieces associated with car insurance:

Bodily Injury Liability – If an accident occurs and others are injured, the body injury liability will cover their medical costs. The state minimums are usually around $25,000-$50,000. Don’t be afraid to raise these a bit, because you don’t want to pay out-of-pocket if there are serious injuries or someone decides to sue you.

Collision and Comprehensive Coverage – You’ve probably heard of this before. When you have collision and comprehensive insurance, it helps cover the costs associated with repairs from an accident (collision). The comprehensive covers acts of God, vandalism, or theft.

Personal Injury Protection- Let’s say you get into an accident and there are others in the car. Your car insurance’s “personal injury protection” can help alleviate medical costs, pay for lost wages, and even cover funeral costs if it should be needed. Most people know this as the PIP plan.

Property Damage – If you get into an accident, the property damage amount can help cover the cost of damages to the other vehicle. It also pays for other damage associated with the accident (guard rails, fence posts, or any type of structure that is damaged. Settling for the minimum requirement here is taking a risk. After all, it only takes one accident to turn your world upside down.

Underinsured/Uninsured Motorists – This coverage is optional in some states. Those who need it should make sure they have plenty of money attached to it. If by chance an underinsured or uninsured motorist hits you, it alleviates the need to pay for everything out-of-pocket yourself. Plus, if you sue the other person, it’s going to take time to receive a judgment.

So, when it’s time to purchase car insurance, it’s important to look over each area. Just because there is a state minimum DOES NOT mean you have to stick with those numbers. Adding a little extra to the policy could cost more in the beginning, but those few extra bucks a month could be well worth it if an unfortunate event occurs.

In the end, just be mindful of your needs and your car insurance will be extremely beneficial..