If you have a driver’s license and a car, you need to have car insurance. However, you might not truly understand what exactly car insurance is. Here is some information on car or auto insurance to help you in your auto insurance search!
What Is Auto Insurance?
Auto insurance, otherwise known as car insurance, is insurance to protect you and your vehicle. This insurance will protect you against financial loss when and if you have a car accident. You sign a contract between you and the insurance company where you will agree to pay the insurance premium and the insurance company will agree to pay your financial losses as outlined in your specific policy.
Car insurance will provide you coverage for property, medical, and liability purposes. Property coverage means that your car will be covered if it is damaged or if it is stolen. However, it is important to remember that not all car insurances are equal. Your specific coverage might not cover damage to your car in the event of a non accident, like a tree falling on it or it getting scratched by a rock on the road. If you want your insurance to cover things like this, be prepared to pay higher premiums. By law you are required to have insurance, but you are not required to have insurance that covers damage to your vehicle. It is cheaper to not have insurance that covers your vehicle, but in the event of an accident or anything happening to your car, you will have to pay out of pocket to have it fixed.
Car insurance also protects you against liability. This means that the insurance company will pay for your legal responsibility to others in the event of a car accident. Your insurance will pay to have their property fixed as well as their bodily injury bills. This part of your car insurance is required by law for you to have.
Car insurance will provide you medical coverage as well. Your insurance will pay, as outlined by your specific plan, the cost of injury treatment and rehabilitation from injuries from car accidents for the other parties involved. This is also mandated by law that you have. However, you might not be covered for your own personal injuries, so make sure to check the insurance policy. Car insurance might also pay for funeral expenses and lost wages if you specify that on your plan.
Make sure to look into all of these options when getting a car insurance quote. Your quote will not be accurate if you forget to add these to the options that you want!
The foregoing article was written by the author based on experiences he has had. This article is not stated as a legal opinion or as fact but instead is stated as opinion of the author.