Just about every able bodied adult drives at least occasionally. And for those of us who own a car we understand how important it is to have your car covered in case of an accident. What most people don’t realize is that in many states is the law that you have at least minimum coverage on your car for you to operate it on the road.
But who wants to pay tons of money for car insurance, especially with the state of the economy. Finding a good agent will help you keep your costs down while keeping your vehicle covered.
To know if you have the right amount of coverage for your vehicle you need to look at not just your state requirements but the requirements of your lean holder. That’s right if you are making payments on your vehicle your lender has the right to require that you keep full coverage on it at all times.
Failure to do so can result in a breach of contract. That is of course if your lender spells out that you are to keep full coverage on it at all times. It is as much for their protection as it is for yours. You wouldn’t want to get into an accident, total your automobile and then be on the hook for those payments as well as new payments.
By requiring you to have full coverage your lender will be able to recoup the loss should something happen to your automobile.
But having full coverage automobile insurance just doesn’t make a lot of sense to some if the vehicle is paid off, especially older cars. At some point in the cost of the premiums end up costing you more than the automobile is worth. For most states you can get away with having what is called liability insurance.
This means that your vehicle and you are not covered if you are found at fault in an accident. The others involved in the wreck will be covered up to a certain amount. Now the liability amounts vary from state to state so be sure to talk to your local agent before purchasing your policy.
When you are shopping for automobile insurance it’s important to have an idea of what you need before you call. By taking your time and shopping around you will find that the price for car insurance will vary from company to company as will coverage.
By doing a simple online search you can get instant quotes from many of the companies in your area. By comparing quotes and coverage you will ensure that you aren’t over paying. And it really does come down to saving money and keeping yourself on the road.
