Auto Insurance Guide
Navigate the complexities of auto insurance with our comprehensive guides on coverage options, state requirements, and making informed decisions about your car insurance.
Whether you're shopping for your first policy, comparing options, or looking to better understand your current coverage, our auto insurance resources provide you with the knowledge you need to protect yourself and your vehicle.
What is Auto Insurance?
Auto insurance is a contract between you and an insurance company that protects you against financial loss in the event of an accident or theft. In exchange for your premium payments, the insurance company agrees to pay for your covered losses as outlined in your policy.
Auto insurance provides coverage for:
Property
Damage to or theft of your car
Liability
Your legal responsibility to others for bodily injury or property damage
Medical
The cost of treating injuries and rehabilitation
Auto Insurance Resources
Factors Affecting Auto Insurance Rates
Understand what factors insurance companies consider when determining your auto insurance premium.
SR-22 Insurance Explained
Everything you need to know about SR-22 insurance requirements and how they affect high-risk drivers.
How to File an Auto Insurance Claim
Step-by-step guide to filing an auto insurance claim after an accident or incident.
Understanding GAP Insurance
Learn what GAP insurance covers and whether it makes sense for your vehicle.
Rideshare Driver Insurance
Special insurance considerations for Uber, Lyft, and other rideshare drivers.
High-Risk Auto Insurance
Options for drivers with poor driving records or other high-risk factors.
No-Fault Insurance States
How no-fault auto insurance works and which states use this system.
How Auto Insurance Discounts Work
Guide to common auto insurance discounts and how to qualify for them.
Related Insurance Terms
Frequently Asked Questions
What are the main types of auto insurance coverage?
The main types of auto insurance coverage include liability (bodily injury and property damage), collision, comprehensive, personal injury protection, uninsured/underinsured motorist coverage, and medical payments. Liability coverage is required in almost all states, while other types may be optional depending on your state and situation.
How much auto insurance do I need?
While state minimums provide basic protection, most insurance experts recommend carrying higher liability limits (such as 100/300/100) to adequately protect your assets. If you have a newer vehicle, collision and comprehensive coverage are recommended. Consider your personal financial situation, the value of your vehicle, your driving habits, and your risk tolerance when determining coverage amounts.
What factors affect my auto insurance rates?
Insurance companies consider many factors when calculating your premium, including your driving record, age, gender, credit score (in most states), vehicle type, location, annual mileage, coverage levels, deductible amounts, and insurance history. Some factors like your driving habits are in your control, while others are not.
Can I switch auto insurance companies at any time?
Yes, you can typically switch auto insurance companies at any time. However, it's best to have your new policy in place before canceling your old one to avoid a lapse in coverage. Some insurers may charge a cancellation fee if you cancel mid-policy term, so check your policy details first.
How can I lower my auto insurance premiums?
You can potentially lower your premiums by maintaining a clean driving record, bundling multiple policies with one insurer, increasing your deductibles, taking advantage of available discounts, improving your credit score, driving less, and comparing quotes from multiple insurance companies. Regularly reviewing your coverage needs can also help ensure you're not paying for unnecessary coverage.