TAGS
An affordable car insurance becomes such an important consideration if you are poised to minimize unavoidable risks and unforeseen accidents. With an insurance cover on your automobile, your car becomes safe and completely insured against an accident or your car is criminally a victim in theft, arson or burglary.
Car insurance basically works in favor of the victim who has insured their car. In a situation where you are found guilty of bashing the car of another party which has been duly insured, the victim is protected by law to seek compensation from you.
Such compensation you will be required to pay by law may include medical compensation, as well as payments for damages and repairs.
Sometimes, the insured driver may choose to waive their rights to sue you personally and sue you through their car insurance party instead by submitting a claim for repairs and medical bill.
On the other hand, the process of submitting a claim is a little different for a single-car accident.by the way, single-car accidents can occur if somebody breaks into or steal your car.
In such a case, the law allows you to submit a claim to your insurance company, requesting for full compensation for damages or inconveniences caused by the events.
In addition, the terms of your auto insurance policy can also protect you against another party who is uninsured or less insured than you. Simply put, a car insurance basically offers you financial safety over your car, like a raincoat protects you against the vagaries of the rains.
In all cases, it becomes a win win situation if you get bashed by another party, get injured in an accident or you are involved in an injurious car accident.
The rate of deaths and injuries resulting from vehicle crashes has been on the increase in the United States since 2012. According to a report from the National Highway Traffic Safety Administration (NHTSA), over 5.6 million traffic accidents were reported by police in 2012. This meant an increase in the rate of accidents of 5.2 percent from the previous year, 2011.
From the NHTSA breakdown, Injuries increased by 6.7% and deaths by 3.3%. Therefore, this means that there is a high risk of you suffering an injury or disability if involved in a Road Traffic Accident.
The point of car insurance is to basically help you foot the bill of repairing car damage, help you pay for medical treatment and rehabilitation.
There are different kinds of car insurance which were created to follow the specified federal and state guidelines. Consequently, the cost and type of insurance specified by law is a function of the location you live in. Let us review some of the common types of auto insurance coverage:
Underinsured or Uninsured
The underinsured/uninsured kind of auto insurance grants you financial protection when the offending driver is not fully insured to cover the damages on your car, or bodily injuries.
Liability
This insurance coverage is applied if it is a single car accident and you are found to be guilty. The Bodily Injury Liability covers injuries you sustain from an accident.
Property Damage
The Property Damage insurance coverage pays for damage done to your car or the car of a third party.
Personal Injury Protection
This insurance coverage provides you with the financial obligation to offset any medical care that you may require.
Comprehensive Auto insurance
In a situation where the other driver is at fault and without liability, the Comprehensive Auto insurance, through criminal actions, will fully carry your bodily injuries as well damages done on your car.
The cost of an auto insurance policy varies from state to state. You tend to pay more for insurance if you live in a state or location with high accident rates and cost of living such as Detroit, New York City or Los Angeles. High crime rates and car thefts also tend to increase car insurance rates.
The reason for high rates is attributed to the fact that, insurance companies usually pay much more to cover a larger volume of submitted claims.
Hence, insurance companies need to increase insurance rates so as to be adequately able to fund those insurance claims made by their clients.
However, there are more effective ways you can reduce the amount of money you pay and enjoy a cheap auto insurance policy. In some cases, you can even enjoy insurance discounts from insurance companies when you meet certain obligations on your part as an insured client.
Such obligations an insurance company may require you to meet include but are not limited to having a clean record, consistent, timely payments without coverage lapses. It is important you qualify so that you can enjoy discounts and save big on your auto insurance policy.
.
