방문운전연수
Car insurance is designed to protect you and your family from the financial consequences of an accident. It usually includes liability coverage for bodily injury and property damage, as well as optional add-ons like comprehensive and collision coverage.
방문운전연수The cost of a policy can vary depending on your age, the car you drive and your annual mileage. Your location and driving history also affect your rates, as do the deductibles you choose.
Minimum Coverage
Nearly all states require drivers to have a certain amount of car insurance in order to drive. But, your state’s minimum requirements shouldn’t be the only consideration when deciding how much coverage you need. Depending on your personal circumstances and financial situation, a policy with only minimum coverage may leave you financially vulnerable if an accident occurs.
New York’s mandatory auto insurance includes $50,000 in bodily injury (BI) limits for each driver, as well as $10,000 in property damage liability. In addition, a mandatory personal injury protection (PIP) coverage is required that provides for medical expenses, work loss and other costs related to an accident regardless of fault.
If you’re considering a vehicle that is worth more than your state’s minimum BI or PIP limit, it’s wise to add collision or comprehensive coverage to your policy. These types of coverage typically have a deductible that you’ll need to pay before the insurance pays, but they can help protect your assets from out-of-pocket repairs and replacement costs.
In some cases, a lender may also require you to carry UM/UIM and PIP coverage as part of your agreement to finance or lease a vehicle. It’s important to understand your state’s minimum requirements, evaluate your personal and financial situation and shop around for coverage to find the best deal on an adequate policy.
Comprehensive Coverage
Often called 방문운전연수 “other than collision” insurance, comprehensive coverage helps pay for car repairs caused by events that don’t involve a collision with another vehicle or object. This includes damage caused by storms (hail, wind and lightning), theft, vandalism, hitting an animal and fire.
This is a very popular type of coverage, and it’s a good idea to get it if you drive a valuable or expensive car. Normally, this type of policy pays up to the actual cash value of your vehicle, minus your chosen deductible.
Many lenders require this type of car insurance if you’re leasing or financing your vehicle. That’s because it protects the lender in case you can’t make your payments. Even if your state doesn’t require this type of insurance, you should consider getting it.
Some people may decide to drop this type of coverage if they’re no longer financing or leasing their vehicle. This is because the annual cost of the premium and deductible can add up to more than the current market value of the vehicle. A quick estimate using a tool like Kelley Blue Book can help you figure out the value of your car and determine whether this type of coverage makes sense for your unique circumstances.
Collision Coverage
Collision coverage pays to repair or replace a policyholder’s car when it hits another object, such as a fence or a tree. It’s not required by any state, but it’s often included as part of a full coverage insurance policy that also includes comprehensive and uninsured/underinsured motorist (UM/UIM) protection. It’s also an option for drivers who want to be covered in case their car is stolen or damaged by an act of God, such as flooding or a tornado.
A general rule of thumb is that if three to five years worth of collision insurance premiums exceed the value of your vehicle, then dropping it could make sense. However, MoneyGeek outlines a few other considerations that may influence whether this coverage is necessary for you:
Some insurers offer optional add-ons to help reduce the cost of collision insurance. Typically called disappearing deductibles, these offer a reduced deductible for each year you don’t file a claim. It’s important to remember, though, that these extra costs can increase your overall insurance premium. Also, these extra benefits are only valid if you pay your entire deductible before an accident occurs. MoneyGeek has more detailed tips for evaluating collision insurance here. If you’re unsure what type of coverage is best for your situation, talk to a licensed professional to get personalized advice.
Liability Coverage
Most states require drivers to have a minimum amount of bodily injury and property damage liability coverage on their car insurance policies. It’s recommended to carry as much liability insurance as you can comfortably afford in order to protect your personal assets from potential lawsuits.
Liability coverage pays for medical expenses, lost wages and property damage incurred by others in the event of an accident you cause. It also covers legal costs, up to a limit written into your policy.
Physical damage to your own car is covered by two types of auto insurance: comprehensive and collision. These policies pay to repair or replace your vehicle after it is damaged by a covered peril, such as fire, storms, hail, vandalism, and theft. This coverage is optional and usually costs more than the basic liability-only policy.
You should shop around when your auto policy is up for renewal. Many considerations go into calculating the price of your premium, such as your driving record and your annual mileage. It’s a good idea to tell your insurer if you drive an older vehicle or have kids that drive your car often because these vehicles may be assigned to a higher insurance grouping. Your provider will generally get in touch with you about three to four weeks before your auto policy renews to give you the opportunity to switch providers or change your policy.