Instant Car Insurance Quotes Can Be Free - Here Are Some Things
To Know First
The annual cost of your auto insurance policy is influenced by
many factors. A policy with a very low premium may not carry all
the coverage you need. A policy with a very high premium may be
stuffed with extras you don't need. Understanding a few basic
auto insurance terms may help you decided which types of auto
insurance are best for your particular needs.
Usage
The way you use your car may have a great impact on the premium
you pay. Some companies offer significant discounts to car
owners who don't commute on a daily basis. Be sure to let your
insurer know if you take mass transit to work or carpool. If you
drive a considerable number of miles for work or pleasure your
premium may be higher.
Principal driver
The principal driver is the person who has control of the car
the majority of the time. Certain age groups have fewer
accidents. Having a child or other driver who is under 25 as the
principal driver on a car will generally greatly increase the
premiums on that car. Drivers over 75 may also have higher
premiums. If the principal driver has multiple violations or
accidents the premium will reflect those occurrences. Try to
list a person from the most accident free age group and with the
best driving record as the principal driver.
Deductible
The deductible is the amount which you will pay toward the
expenses of an accident. Deductibles are per accident. If you
have a $1,000 deductible and have two accidents in a year you
will pay a $1,000 deductible for each accident. If your vehicle
is totaled the payment you receive will be less your deductible.
Collision coverage
Collision coverage is the insurance for a car when it hits or is
hit by another car. This is considered minimum coverage and is
required by most states.
Liability insurance
Liability insurance is another part of minimum insurance
coverage which is required by most states. Liability insurance
refers to coverage for damages which you caused and for which
you may be legally liable.
Uninsured driver coverage
Some policies cover damage to the insured person's auto if the
other driver doesn't have insurance or if the other driver is
unidentified due to a hit and run accident. Coverage of this
sort may carry many restrictions, read through it carefully.
Please get as many insurance quotes as possible to compare
services and pricing. By doing so you will learn more about the
insurance process and industry.