Auto Insurance Recommendations. An ideal policy should be tailored to suit an individual’s specific need of protection in addition to satisfying their state’s financial responsibility laws. Each consumer is unique and should evaluate their own needs to determine the recommended amount of car insurance coverage. To get quotes on a specific coverage recommendation, enter your zip code below and hit “Get Auto Insurance Quotes“:
To determine the coverage recommendations, take into consideration the different possibilities of loss, including:
- Personal Injuries – Certain states adopting the “no fault” law make it mandatory to carry personal injury coverage. Be aware that a policy may not provide a significant amount of personal injury protection. For example, medical coverage in the amount of $10,000 may not be sufficient to cover serious injuries so consider purchasing higher limits or even a medical policy on the side. If you already have a medical policy, talk to your agent to avoid paying for unnecessary duplicate coverage.
- Damage from Uninsured or Underinsured Drivers – Unfortunately, there are many drivers who carry minimal or no coverage. Consider purchasing uninsured motorist coverage to protect yourself against an at fault party who does not have adequate insurance to pay for your damages.
- Liability to Third Parties – In many states, having liability coverage is a requirement; however, consider raising limits above the minimum because, in many states, liability requirements are relatively low compared to the possible cost of medical care and repairs or replacement of vehicles. Liabilities exceeding the policy limits may leave policyholders responsible for unpaid third party damages leaving their personal assets, such as homes, in risk of liens.
- Damage or Theft to Owned Vehicles – Motorists who finance, lease or own valuable vehicles should consider purchasing comprehensive and collision coverage to provide protection for physical damage and theft. Vehicles with a high market value are generally more expensive to repair and it may be beneficial to cover the automobile rather than risk having to pay for repairs out of pocket or having to replace a stolen vehicle. Most financial institutions may require that financed vehicles be continuously covered throughout the duration of the loan and failure to do so can lead forced placement of insurance and expensive premiums may be added to the lease or finance installments. A deductible usually applies which can be increased to reduce premiums.
- Incurred Expenses – Additional expenses may be incurred as a result of an loss of vehicle. One example is the expense of rental vehicles as temporary transportation and towing expenses incurred. Consider towing and rental coverage which is usually available for a small additional premium.
Be sure to consult your car insurance agent or insurance company to recommend the most cost effective car choices for your insurance plan.