It’s important to make sure you have car insurance and get the coverage that best suits your needs without overpaying for it. Becoming more knowledgeable about car insurance is the first step. We’ve provided a good start to learning more about car insurance as well as how you can get car insurance quotes.
Why You Shouldn’t Drive Without Insurance
Many people choose to take short cuts or try to save money money by not getting car insurance. That’s a bad idea and here’s why.
- Every state requires drivers to carry a minimum amount of liability insurance on their cars. The penalty for driving without insurance can be steep depending on your state
- National Highway Traffic Safety Administration estimates that the average American has a 30 percent chance of being involved in a serious automobile accident in their lifetime
- You have to pay out of pocket if you’re in a car accident. Liability costs such as personal injury and property can be unaffordable unless you have insurance
- Comprehensive coverage covers more than stolen cars. It covers stolen parts too. Many cars are susceptible to getting certain parts stolen which can be expensive
Ways to Save Money on Car Insurance
While car insurance is another expense, there are some ways you can save money. Here are just a few examples to consider.
- Keep your driving record clean
- Increase your deductible
- Ask for discounts
- Drop unnecessary coverage
- Shop around for the best deal
What Determines Car Insurance Rates?
A lot goes into determining car insurance rates. Keep in mind the follow when you shop around.
- Geography or the state you live in
- Vehicle classification: price, make, model and age
- How often a make and model vehicle is stolen and the claims filed
- Number of vehicles and drivers
- Credit scores
- Vehicle safety features
- Demographics such as marital status, education and profession
- Deductible: a higher deductible will typically lower your rates
- Driving characteristics such as your age, where you live, driving record and annual mileage