If you own a vehicle, then you need automobile insurance. It can protect you in the event of an accident, whether or not it involves another vehicle.
Set up as a contract between you and the provider, your automobile insurance comes with a premium that you must pay in order to keep it in effect. Your coverage protects you against certain losses, which the insurance company agrees to pay. The exact nature of the losses that your provider agrees to cover is dependent upon the terms of your policy. If you fail to make your premium payment on time, your policy lapses and you lose coverage. Most car insurance policies are good for six months at a time, and they must be renewed in order for the coverage to continue.
Three separate types of coverage are commonly included with automobile insurance. They include property, liability, and medical coverage. Property coverage pays for losses related to theft of your car or damage to it. Liability coverage pays for losses that are incurred when you are responsible for injuries to others, including bodily harm and property damage. Medical coverage pays for losses that are the result of the cost you must pay for the treatment of injuries, funeral expenses, physical rehabilitation, or lost wages.
The state that you live in sets forth specific guidelines as to which types of coverage you must obtain with your automobile insurance. However, if you have obtained a loan to pay for your car, the lender might also have guidelines that you must follow when obtaining your car. Moreover, your lender must be listed on the loan.
The primary reason that you need insurance is to protect yourself financially against losses incurred as the result of theft or accident. The insurance money is meant for the repair of the damage or the replacement of lost possessions, including the vehicle.
Car insurance also covers payments to cover any medical expenses for those individuals injured in an accident. Since you are responsible for these payments if it is determined that you are at fault, you could be expected to pay quite a bit of money.
As stated earlier, most states require that all car owners obtain a certain amount of car insurance. If you do not, you can be subjected to fines.
If you contact us to assist you with your car insurance needs, we can offer you: