These are a few car insurance recommendations to make sure that you have the coverage you need at a price that you can afford. Car insurance can be confusing and it is easy to go with the lowest price possible. However, for that lower price, will you have enough coverage when you need it the most?
There are areas of a car insurance policy that allowed you to choose a dollar amount of how much money your insurance company will payout if you are in an accident. You do not have to have the top dollar amount but you do not want to end up paying thousands of dollars out of pocket.
You should never solely rely on your auto insurance for medical coverage. A separate health plan through an employer is the best bet. If you do not have health insurance and are in an accident with an uninsured driver, you will end paying a lot of money out of pocket, especially if your bodily injuries are severe.
Liability coverage is what the insurance company will pay out if you are the one at fault for the accident. This will cover the areas of medical bills, lost wages and other property damage that may have occurred during a car accident. This is the part of the policy that will hopefully keep you from being sued.
Comprehensive and collision coverage is what insures your car for any other mishap that may occur, other than an accident. Theft, vandalism and certain weather conditions can be examples. Car insurance recommendations are that you do not have more coverage than what your car is worth. If you are financing your vehicle, the financing company will probably be the one to dictate how much coverage you need.
Essentially, the more expensive your automobile is the more comprehensive and collision you should have. If you have an older vehicle with a low blue book value then will not need as much coverage. For older vehicles, you have insurance to pay the other person if you cause an accident.
Car insurance recommendations are just guidelines. Not every situation is the same. When you talk to your insurance agent, ask as many questions as you can and do not be afraid to ask for only the coverage that you need and insist on nothing more. You are the one that has to the premium, not you insurance agent.