How Does Car Insurance Work?

The number of drivers on the road increases every year. As this number increases, the chances of a car collision will also go up. If you get in a car crash, the car insurance you have can make a big difference in how much you have to pay. But why do you need to own insurance and just how much should you purchase? Your insurance may be able to pay for the expenses from a car crash ranging from car repairs to replacement costs. Automobile insurance is mandated by state law. By not purchasing insurance, you risk having to pay the full price of the harm you cause others or to repair or replace your vehicle if it is damaged or stolen. Liability: Liability pays for the expenses you have caused to others in a car accident, including property damage and injury. If you are in legal trouble, this type of insurance will pay for your court costs. Local laws typically mandate standard amounts, but larger amounts can be purchased and are extremely helpful. Personal Injury Protection: This is mandated in some states and is optional in others. It pays you or your passengers for medical treatment resulting from a crash, regardless of who may have been at fault, and is often called no-fault coverage. Local law typically sets minimum amounts. Medical Payments: Medical payment coverage is available in non-no-fault states and will pay regardless of who is responsible for an accident. This insurance will pay for an insured person's reasonable and necessary medical or funeral expenses for bodily injury from an accident. Collision: This pays for damages to your vehicle caused by an accident. Comprehensive: Cover your vehicle from all non-collision damages by purchasing this type of coverage. This includes protection from robbery, vandalism, and weather damage. Uninsured Motorist: Too many drivers are breaking the law by driving a car without owning the right amount of insurance. This type of coverage will protect you if one of these drivers hit you. Under-Insured Motorist: This pays for damages when an insured person is in a crash caused by another person who does not have the right amount of insurance to cover the full cost of the damages. Other kinds of coverage, like car rental, are also available. Your car insurance payments varies based on the company and will depend on several factors, including: * What coverage you select * The type of the vehicle you own * Whether or not you have been in an accident * Your age, sex and marital status * Where you live Some have come to think of car insurance as a necessary evil, but it can truly rescue you from a financial disaster. Review your needs, do your research , and with the support of your insurance agency, make the decision that fits you best. Car Insurance Groveland