Auto insurance coverage is one of the most important insurance products you will ever have to buy. Aside from protecting you, your passengers, and your car, it is a required part of being a driver in nearly every state. But you’d be surprised to learn that car insurance isn’t always so straightforward.
Actually, it can quite complicated if you’re buying your first ever policy, or if you’re making a switch to something new. In this quick guide, we take you through some of the most common questions drivers have about car or auto insurance so that you’ll have the information needed to help an informed decision about your auto coverage.
What is Auto Insurance?
Auto insurance is a type of insurance policy that you buy to cover yourself financially against the costs associated with getting into an accident in your car. Depending on the specifics of your cheap auto insurance policy, it can help you pay to repair or replace your car, repair or replace someone else’s property or car that was damaged or destroyed in an accident involving your car.
Do You Need Car Insurance?
With the cost associated with taking up auto insurance, you might not deem it viable to purchase it. However, this decision could end up proving costly in the long run. After all, nearly all states and countries require drivers to carry a minimum amount of auto liability coverage. Moreover, certain states require drivers to carry with them uninsured/underinsured motorist coverage. This minimum auto insurance coverage tends to vary from state to state.
Can You Get Car Insurance without a Car?
Yes. In the event that you are currently buying a new car, you’ll need proof of insurance before you can drive that car home. As soon as you’ve made the decision to buy a car, you can purchase coverage the vehicle.
Similarly, there are certain cheap auto insurance policies for individuals who don’t own their own vehicle, but who drive regularly. This is known as non-owner car insurance that provides the driver with liability coverage. Ensure you do your homework before taking up cheap auto insurance policies.