Our experts have put together answers to the most frequently asked questions about auto insurance, so you can make sure you’re getting the best coverage for your car. If you’d like to learn more about what auto insurance coverages are right for you, just keep reading! Or, if you already have insurance, you can always contact us at [company phone number] and our friendly agents will help you find the right policy to fit your needs.
What is auto insurance?
Auto insurance is a contract between the insured person and the insurer. It provides protection against financial loss from accidents in which the insured vehicle is either injured or damaged. The amount of coverage you choose will depend on how much risk you want to assume, what kind of car you drive, and your driving record. There are two types of auto insurance: liability, which covers only bodily injury and property damage for which you are found legally liable; and comprehensive, which covers both collision damage to your car as well as theft.
How does auto insurance work?
Auto insurance is a contract between you and your insurer. It helps protect you from financial loss if you get into an accident, which could result in damage to your vehicle or medical expenses. The most common type of auto insurance coverage is liability, which covers the cost of any damages or injuries that occur while operating the insured vehicle. Liability coverage only kicks in when you are at fault for the accident, so it’s important to have collision and comprehensive coverage as well.
How much does auto insurance cost?
Auto insurance is a necessary expense for most drivers. The cost of auto insurance varies depending on the driver’s age, the vehicle, and the state where you live. The following are some factors that will affect your rates:
Who needs auto insurance?
Everyone who owns a car needs auto insurance. Whether you are the owner of the car or just driving it, you need to have insurance on your vehicle. In order to legally operate your vehicle on public roads, you must have liability insurance as well as comprehensive and collision coverage.
What types of coverage are available?
Auto insurance coverage is available for the following types of risks: bodily injury liability, property damage liability, uninsured and underinsured motorists coverage, comprehensive and collision coverage. Bodily injury covers you if you injure or kill another person while driving your car. Property damage covers your car if it damages someone else’s car or property. Uninsured and underinsured motorists coverage helps protect you in case the other driver doesn’t have any insurance or doesn’t have enough to cover the cost of repairs to your vehicle.
What factors affect my premium?
The type of vehicle you drive, how often you drive and where you live can all impact your auto insurance premium. If you live in an urban area, for example, your premiums will likely be higher than if you live in a rural area. Similarly, if you commute by car each day, your premiums are likely to be higher than if you only use your vehicle on weekends.
How can I save on my premium?
The best way to save on your premium is to make sure you’re always up-to-date on your car insurance policy. If you find that you’ve missed a payment or fallen behind, contact your insurer and ask them what they can do to help. You might be able to make a partial payment or set up an installment plan to pay off the balance. Another way to save money is by bundling all of your insurance with the same company.
How do I file a claim?
In order to file a claim with your insurance company, you must contact your agent or company and provide the following information:
- where the accident occurred;
- when the accident occurred;
- who was involved in the accident;
- what kind of damage was done to property, if any;
- how many people were involved in the accident and their current condition (if known);
- what kind of vehicle each person was driving.
What happens if I have an accident?
If you are involved in an accident, the at-fault driver’s insurance is required to pay for your damages. If you were not at fault and their insurance company refuses to pay, you can make a claim on your own policy. Your own insurance company will work with the other party’s insurer to determine how much they should pay. In some cases, if the cost of repairs exceeds your deductible or your car is totaled, your insurer may provide you with a rental car while yours is being repaired or replaced.
What should I do if I’m in an accident?
It’s important to be prepared before you’re in an accident. Here are some steps that you can take:
-Call your auto insurance company immediately.
-Stay on the line with them and answer all of their questions until they tell you it is okay to hang up.
-If your car has been hit, take down any information from the other driver such as their name, address and phone number.
-Obtain the names and contact information for any witnesses to the accident.