What Should You Have For Car Insurance

Liability car insurance is the coverage that pays to repair the damage you cause to other people and their things.

What should you have for car insurance. If you owe money on your car your lender requires you to have collision and comprehensive coverage which would repair or replace your car. Liability just means responsibility so liability insurance protects you. You should also carry comprehensive and collision insurance if your car is 10 years old or older but worth more than 3 000 or if you can t afford to repair or replace it. However you should double check the rules and regulations some states have laws that require you to cosign for insurance coverage even if your teen has their own policy.

To find out what your state s minimums are check out this web site. Nearly every state requires car owners to carry auto insurance and most states have required minimum values for different policies. Use our coverage calculator to see how much car insurance coverage you need. Before you purchase any type of recommended auto insurance coverage be sure to study your other insurance policies so you don t end up paying for something you don t need.

Minimum coverage isn t necessarily all you should have. Even if your state doesn t require you to have car insurance coverage you may still be held liable for property damage or bodily injury if you cause an accident. So if you have a red car and you speed and get a ticket or have an accident those are reasons for a rate increase not because you drive a red car insurance companies consider a lot of. If you re in an accident and it costs 10 000 to repair your car you will have to pay 1 000 before your insurance company pays 9 000.

Though it comes with all the bells and whistles premium auto insurance coverage may also come at a premium cost. If you have an older car that s not worth very much or if you won t have a problem paying for a new car collision and comprehensive coverages may not make economic sense. If you don t carry insurance the state can impound your vehicle. If your teen gets into an accident that raises your premiums you can remove them from your policy and require them to purchase their own coverage.

When you get car insurance quotes you can choose types of coverage that can help with medical bills from a car accident.