How Much Car Insurance Should You Get?
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Although the economy has rebounded the past few years and the stock market has gone up to record highs, many middle-class Americans are still feeling the economic pinch from the last recession. That is because inflation has gone up more than wages. This pinch has led many families to cut costs wherever they can. One popular expense families have reduced is automobile insurance. The cost of insuring a vehicle has gone up a lot in the past ten years, especially if you live in California and New York. People know that they need to be covered as cheaply as possible, just to get by month to month.
The question is, How much car goodtogoinsurance should you get? There’s no simple answer for that. It varies by each individual and family. One person may have millions in assets that need protecting, while someone else might be starting out with an old junker car that just needs basic liability car insurance. The point is, you need to analyze your specific needs and buy the coverage that protects you at the lowest possible price. If you do that, then you can save some money and also rest assured that if an accident happens, you will be protected financially. Remember, while each state has minimum requirements, buying “bare bones” coverage could end up costing you in the long run. An auto accident you caused could result in a legal claim against you and in the end bankruptcy. Get insured for less with a quick quote from good to go auto insurance online.
Each state in the U.S. has a department of insurance. These government entities make and enforce auto insurance laws. They put forth mandates on the minimum amount of legal insurance that is required. There are however two states that do not require minimum liability vehicle coverage. These are Wisconsin and New Hampshire. The amount of liability ins you need to be legal varies state by state. You may need higher liability amounts in California and much less in Arkansas. Other states have broader mandates that include buying coverage for possible medicals costs, called personal injury protection or PIP. This can add extra costs to your policy, but provide more protection. Keep in mind that minimums are just that. You should evaluate your financial situation and buy a policy that covers you properly.
Get the Auto Insurance Coverage You Need to Protect your Assets
We live in a very litigious society. In the United States, you can get sued for almost anything. Remember the dry-cleaner years ago that got sued for millions because they lost a client’s pants? If you get into an accident that you caused, chances are very high you could be sued for damages, including pain and suffering. If you have assets that can be attached to a legal settlement, you need to carry higher limits and bodily injury coverage. Most auto insurance agents will recommend limits of $100,000 per individual and $300,000 per vehicle accident. If you have no assets to protect, then you need to consider your health. If you get into a serious wreck, you could be out of work for months. Ask yourself this, do you have enough money saved to pay for six months of living expenses? If not, then you need to buy PIP and medical payment coverage. This is not as expensive as you might think and could save you if you get injured in an accident.
The good news is there are some simple things you can do to reduce your car insurance costs. The first one is eliminating collision and comprehensive insurance. If you lost your job for example and need to reduce expenses right away, this is a good strategy. On the other hand, if your vehicle is leased or there is an auto loan attached to it, then you will be required to carry collision and in most cases comprehensive. If you own the car and have the title in your possession, then you have more control over the type of insurance you can get. If you have a used car that is valued at $6,000 or less, it might make sense from a financial perspective to carry just liability coverage. You can take that extra $500 a year that it costs for collision and comprehensive and invest it. Then if your car is totaled, you will have saved up enough to get a similarly used replacement vehicle. If you never get in a wreck, then you can just keep on saving. That is how you should approach How much car insurance you should get?
Once you have determined the coverage and amount you need, the next step is getting quoted. By far, the best place to go is online. You can get private auto insurance quotes from leading sites like good to go insurance in about 5 minutes. These sites use your profile to find the cheapest direct rates available. You get up to 10 on-line quotes, and there is no pressure to buy a policy. Apply online now and see the real savings for yourself.