We all know that having car insurance is not only important, but in most states is required by law. However, there are many questions that should be asked in order to find the best rates and the amount of coverage that you will need. That is way I put together Auto Insurance FAQs to help you find the best.
Is Anyone Who Drives my Car Covered Under my Insurance Policy?
In a lot of cases, insurance companies will cover someone other than the primary insured, as long as the other person driving the car has permission to use the vehicle. However, this is not necessarily the case on every policy so be sure to double check your auto insurance policy to make sure. Typically, every member of your household with a driver’s license is required to be listed on your insurance. If you live with a significant other and fail to list them on your insurance, for example, they may not be covered. Yet, at the same time if you did not live with your significant other, they may very well be covered under your auto insurance policy.
What are the Differences between Comprehensive Insurance and Collision Insurance?
Most people think that all auto insurance is created equal, but the fact is it isn’t. Collision insurance will only cover you in the event of a collision with another vehicle, whereas comprehensive coverage will cover you in the event of theft or fire. Comprehensive coverage will also provide coverage to the contents of your car, such as any aftermarket stereo equipment you have installed. When people use their cars on a regular basis, they will have both comprehensive and collision insurance, but if a car is not being used, many people will only have collision insurance.
What is the Minimum Amount of Auto Insurance I Need to Have?
The requirements for minimum auto insurance vary state by state, so to find out you should check with your state insurance commissioner. All states require that liability insurance be covered. If you do carry the minimum amount of insurance in your state, and you drive into another state, you will automatically assume the minimum amount of coverage for that state. It is still recommended that you have not only liability insurance, but also at the very least collision insurance as well. It isn’t possible to have too much insurance, but it is possible to have too little which can spell financial ruin in an accident.
Does my Driving Record Impact How Much I Pay for My Auto Insurance?
The amount you have to pay for your monthly premium on your auto insurance is determined by your driving record for the past three to five years. Other variables are age. Teen car insurance is more expensive because of the average driver record for teens. How far back your insurance companies check into your driving record varies from insurance company to insurance company. This is why if you do have some blemishes on your past driving record, it can pay to shop around in order to find the best rates. Insurance companies will obtain your driving record not only from the state where your coverage will be based, but also any other states where you have been licensed in.
These Auto Insurance FAQs are important to ask in order to make sure that you have the proper amount of coverage, as well as the premium that you can afford. If you do have questions about your auto insurance, or exact details of what is covered by your policy, make sure to check with your insurance company. You can even get auto insurance car quotes by filling out the form at the top of this page! These Auto Insurance FAQs will help you, no doubt about it.