Car Insurances Examined - What Are the Main Differences Between Car Insurance Policies?
Can you explain them to me? A: Without knowing exactly what type of car insurance you have been shopping for it is difficult to explain what the difference between the quotes might be.
We'll give you an overview of the process so you can better understand what is being offered.
All states require that you either carry an auto insurance policy or that you file a form that shows you have the financial resources to meet the states minimum liability laws.
In the states that require you do meet the financial threshold for not having to carry insurance you do not have to pay the monthly premium, but in the event of an accident you are liable for damages.
In the states that require you to carry insurance the amount you are required to carry can vary greatly from state to state.
The insurance is usually broken up into three sections; bodily injury to one person involved in accident, injury to all involved in an accident and property damage.
The amounts are usually written 10/20/10.
This figure is the maximum amount your insurance company will pay out per accident.
If you choose to add on additional insurance, like theft for example, the cost will usually increase.
The best advice we can give is to ask each agent to explain exactly what the insurance will cover, what you will be liable for, and what it will cost.
Basically the differences in the car insurances you have been offered will boil down to what coverage level you are paying for and how much it will cost.