If you’re like most people, you’ve probably never thought about how important auto insurance is to your everyday life. If an accident occurs, it’s likely that the repercussions will be far-reaching and damaging in ways you can’t even begin to fathom at the moment of impact. That’s why it pays to understand your options when it comes to choosing auto insurance – here are 10 reasons why you should get auto insurance as soon as possible.
1) The Legal Responsibility
Drivers are responsible for whatever happens when they’re behind the wheel. Whether you’re in an accident, ticketed by a traffic cop, or committing a crime, insurance can cover medical bills, vehicle damage, and even criminal defense costs. It’s important to remember that all insurance companies have different coverage limits, so it pays to know what you’re buying. When shopping around for coverage, look at different policies from reputable companies to see which ones meet your needs at a reasonable price. Compare deductibles and pay-out percentages; get to know each policy before purchasing it. Coverage varies dramatically from company to company so do your homework before making any decisions about who (and what) will protect you in case of an accident or other unfortunate event.
2) Protect Your Investment
Your car is likely one of your biggest investments, so it’s crucial to protect it in case of theft or a catastrophic accident. If you don’t have insurance, you could be responsible for paying thousands upon thousands of dollars out-of-pocket if your car is damaged or stolen. Not only will you want insurance in case an incident happens, but also to make sure that if something does happen, your rates don’t go up. That way if something does happen with your car (even by accident), you won’t have to worry about raising your rates!
3) Save Time, Money, and Hassle
If you’re ever in an accident, you’ll likely need to file a claim with your insurance company. Not only do they handle billing, but they can also help track down witnesses and manage your relationships with repair shops. Plus, they’ll deal with the paperwork and other hassles that come with a serious crash. By getting insurance on all of your vehicles, you save yourself from having to worry about these problems; it just makes sense. It might seem like money wasted at first glance – especially if you never plan on using it – but in reality, auto insurance can save your life or someone else’s.
4) Keep you, your passengers and other drivers safe
Getting car insurance isn’t just about protecting your bank account if you cause an accident. It’s also about protecting other people. If you have a family, think of what would happen to them if you were hurt or killed in an accident. If you don’t have kids, consider your own well-being—no one else will be there to take care of you financially or physically if something goes wrong. Think about how much time and money it would cost you to recover from a serious injury or illness, too.
5) Safe Driving Records
Here’s a fun fact for you: If you’ve never had an accident or gotten into any sort of trouble with your driving, you’re actually costing yourself money by not purchasing auto insurance. On top of that, if someone else has to deal with your damages—like another driver—they may end up pursuing legal action against you in order to recoup their losses. Your best bet is always getting insurance as soon as possible so that when accidents do happen, at least you’re not leaving yourself open to financial or legal trouble down the road.
6) Collision Coverage
If you were to get into an accident, what would happen? Besides having to foot a substantial repair bill, your car would need to be towed, and you might be left without transportation. Collision coverage will pay for repairs that result from accidents—no matter who’s at fault. What’s more, if your car is totaled or stolen, collision coverage will also pay for a rental vehicle so you can still get around. If you don’t have collision coverage on your auto policy, it could mean a hefty out-of-pocket expense in case of an accident. No one wants that!
7) Uninsured Motorist Coverage
Protect yourself by adding uninsured motorist coverage to your policy. Uninsured motorist insurance can protect you financially in a car accident caused by an at-fault driver without liability insurance. If not, getting it is as easy as calling your agent and choosing from one of two levels of coverage: bodily injury or property damage liability protection. Both cover medical expenses related to an accident caused by an uninsured motorist, but property damage liability protects only vehicles in your possession; bodily injury covers injuries sustained by you and other people involved in an accident with someone who doesn’t have insurance. Uninsured motorist protection is inexpensive and may offer extra peace of mind for many drivers.
8) Liability Coverage
If you or your passengers cause an accident that injures another driver, you’ll be legally responsible for paying for their medical bills. When purchasing auto insurance, make sure to select a policy with enough liability coverage to protect your assets and compensate anyone you injure. Also, check to see if collision coverage (see below) will apply in such situations as well—if you accidentally strike a pedestrian with your car, collision insurance may help pay for damage to your vehicle.
9) Discounts for Good Drivers
Some auto insurance companies reward good drivers with discounts for various safety features in their vehicles. If you have a good driving record, you could save money on your premiums by getting a model. That has standard safety features like antilock brakes or traction control.
10) How auto insurance helps when filing a claim
After a car accident, it’s easy to get overwhelmed with emotions and stress. Without insurance, you could be on your own to deal with costs. Not only does having coverage limit personal financial risk, but in some states, drivers. Those who don’t carry auto insurance could face additional fines and penalties from law enforcement. If you live in one of these states, make sure to shop around for affordable. Auto insurance before your next renewal date.