Imagine that you just bought a brand new car, went for a ride and somebody smacked it from behind. What will happen? You will be shattered into pieces because personal vehicles are one of the most prized possessions. This is where the need for car insurance arises.
You have already insured yourself against many losses then why not this one? Car insurance is an equally important insurance and must be done for your own benefit.
Car Insurance, also known as motor or auto insurance is an insurance designed to protect your vehicle from unexpected risks. It protects you from financial perils arising out of thefts, accidental damages and the consequences that come after.
Learn which auto insurance companies have the best rates:
A car insurance plan is generally of two types:
First Party Expense – First party policy provides coverage against any damage being faced by the policy owner in the event of unforeseen circumstances. Not only this, if the owner had passengers along during the event, then they will also be covered. However, it should first be proved that nobody was at fault during the accident.
Third Party Liability – If your vehicle has caused any injury or death of the third party or damage to their property, then this policy will protect you against such liabilities.
Just like any other insurance quotes, car insurance policies also vary from company to company. To find which one is the best for you, you should take into consideration various coverage that a car insurance company includes. Most of the companies will cover the following:
Medical Coverage – Regardless of whose fault is it, you will be covered against medical expenses arising out of auto accident.
Liability – This coverage will pay for property damages or bodily injuries to others. This also pays court and defense costs.
Uninsured Motorist – This covers you against car damages when the accident is caused by somebody who does not have liability insurance.
Rental Reimbursement – This coverage is made for rental car if it gets damaged in an accident.
Underinsured Motorist – This will pay for the damages caused to your car when the accident takes place because of somebody who doesn’t have sufficient liability insurance.
Car Insurance Companies will generally have an insurance package that covers either all or some of the above coverage. Apart from these, keep in mind that you should be conscious of the laws in your place. This will let you know the rules and regulations as well as tell you the least insurance requirement of your car.