Today in the US, no matter which state you live, as long as you own a car, you will be required to purchase car insurance. Medical expenses, car repairs, property damages or even destruction could all be associated with car accidents, and thus, even the most careful drivers would not say “No” to car insurance, as it can effectively protect us against financial losses in case of an accident.

Just as other common insurance types, car insurance also comes in various coverage options and different quotes. If you are new to this kind of insurance, or want to change insurance company for a better premium rate, be sure to make several minutes for this article.

How Much Coverage Should I Purchase?

Given the cruel reality that car accidents take place every 18 seconds in the US, buying proper coverage for you and your vehicle would help you get well prepared for possible losses. Before determining your car insurance coverage, you should keep in mind that the options of the coverage will influence your insurance rates – the more coverage types, the higher your insurance quotes.

Therefore, many people, to keep the cost down and effective, just purchase three basic types of coverage to give the car essential protections: liability coverage, collision coverage and comprehensive coverage. Almost all states in the US require drivers to purchase liability coverage for car insurance while the minimum limits on the premium vary specifically. But generally, the higher limit on your liability coverage for each accident, the more likely your insurer will cover the entire damages.

On the other hand, many car insurance policies encourage drivers to purchase somewhat cheap add-ons, such as repairs, towing, medical payment and rental reimbursement, in the event of unexpected expenses involved in an accident.

What Determines My car insurance Rate?

Of course, every of us is looking for low-cost protections for our cars, and in most cases, our car insurance quote would be largely affected by the following two factors: coverage types and deductible. car insurance deductible refers to the amount that the drivers have to pay towards car repairs or replacement before the insurance company covers the loss.

For instance, let’s say you get involved in an accident which causes $5,000 worth of damage to your vehicle and your deductible is $500 (that is the standard deductible amount for car insurance), then you just need to pay $500 towards the car repair and your insurance company will make up the remaining $4,500. In general, the lower your car insurance deductible, the higher insurance rates. Thus, many people choose raising the deductible to lower insurance price.

Besides the two key factors we talked above, there are many other aspects that affect your car insurance quotes, such as the type of your car, your age, sex and driving record, your credit score, and even where you frequently drive to or park your car.

Any Discounts to Lower My car insurance Premium?

Today in the US, the car insurance rate is climbing fast. Besides avoiding unnecessary coverage options and raising the deductible, many people are looking for discount opportunities to lower the quotes. Fortunately, car insurance companies know what you want and offer various saving ways to help make your policy affordable. In most cases, car insurance buyers could take advantage of the following discounts:

• Good Driving Discount
• Good Students Discount
• Anti-Theft Device Discount
• Multiple Vehicle Discount
• Defensive Driver Discount
• Driver Training Discount