Very Cheap Auto Insurance -Tips That Guarantee Affordable Car Insurance Rates (Video)

Friday, May 15, 2009

Why Do You Need Car Accident Insurance?

By Graham McKenzie

One of the finest things that you must do in order to safeguard yourself in case of a car accident is to obtain car insurance. You can get the costs of getting your and the other person?s car repaired, and also your medical expenses based on which type of coverage you opt for. An accident is an unforeseen and expensive affair that can put you in much financial troubles.

There are numerous kinds of car insurance that you can choose from. Among them, the most fundamental one is the liability insurance, and it provides coverage only for the damage caused to the other driver. If the car accident occurs due to your fault and you hit someone's car or injure them, then your insurance plan will provide coverage to a certain portion of that bill. Usually, these plans have a three part number series. The first part states the amount of physical coverage that a person can have, the second part states the amount of physical coverage that will be totally covered, and the third part states the amount spend for the damaged car. Bear in mind that this coverage is not for you but for the car you wreck.

The Collision insurance provides coverage to you and your vehicle in case of any damage. The important thing to keep in mind about collision insurance is that you and your vehicle is already covered for any damage if someone having a liability insurance collides with you. As the liability insurance is mandatory in all US state except for Wisconsin, Virginia, Tennessee, New Hampshire, and South Carolina; you needn?t bother much about it. But this not true if you do not consider yourself as a safe driver. If you are willing to spend a little extra buck and have a young driver, then you must suitably opt for the collision insurance.

If you're worried about something happening to your car besides accidents you can get comprehensive car insurance. This covers anything that might damage your car including vandalism, bad weather, or theft. You decide how much you're comprehensive insurance to be worth and your insurance covers up to that much. Most insurance companies recommend about $100,000 dollars worth of comprehensive insurance on your car if you are going to get it.

Your deductible is the amount you pay to the insurers whenever you get in some sort of accident. Although your insurance covers most of the bill, you are usually required to pay some sort of deductible. If you pay a higher deductible of say, $1,000 dollars, your monthly payments may be less, but you can expect to pay more if you are in an accident.

When figuring out your insurance and deductible be sure to take in mind the value of your car. If your car is not worth more than $1,000 dollars, collision and comprehensive insurance are completely inappropriate for your needs. They are however, fairly important if your car is worth a lot of money. If you are spending more on your insurance than the car itself, you can be sure that the insurance plan is probably not right for you. Make sure you talk to an insurance agent before deciding what type of insurance you want to buy.

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