Getting auto insurance before hitting the road in a car isn’t just a good idea; the law usually requires it unless you live in Virginia or New Hampshire. But if you’re looking to get auto insurance for the very first time, or are thinking of switching policies and providers, there are a few things you should think about. Here are four of the considerations you should look into when shopping around for auto insurance.
Personal Injury Protection
Auto insurance does not have to be just about covering damage to your car; it can also be about you. Personal injury protection is the aspect of auto insurance that can help to recover financially from medical treatment. Depending on the type of PIP you get, it may even apply when you’re not driving the car but are in someone else’s automobile as a passenger.
PIP is always an important aspect of insurance to look into since a car accident always has the likelihood of injury as well.
This is going to be a changing figure for everyone based on personal comfort and need. The deductible is the amount that you are willing to pay on repair to damage yourself before insurance steps in to provide coverage for the rest. The higher you are willing to set your deductible, the lower your monthly insurance rates tend to be and vice versa.
Look at your comfort level and finances. If you feel that you’re less likely to get into a serious accident, and want to enjoy lower premiums, think about setting a higher deductible for yourself.
Uninsured Or Underinsured Motorist Coverage
While you may have insurance, there’s no guarantee that the person you get into an accident with will. This can be bad news for you if your car is damaged, you are clearly not at fault, but the person who is was driving a vehicle without insurance. In some cases, it might even be that the damage is severe enough that someone with a very small insurance policy is underinsured for this situation, and the policy won’t be adequate to address the damage.
Uninsured and underinsured coverage means that even if you do get into this situation, your insurance company still has your back. This will add a bit more to your premiums, but with 20% of the drivers on the road potentially driving around without proper coverage, this adds some peace of mind.
OEM stands for “original equipment manufacturer.” If your car is damaged, you might assume that insurance will pay for and authorize the use of OEM equipment to replace your car parts but don’t always make this assumption.
Depending on the insurer, the policy may call for the replacement of your car parts with “aftermarket” car parts that are cheaper, generic, and not from the original manufacturer of your car. If you’d feel better about getting your car’s missing parts replaced with OEM components, make sure to look into this aspect of auto insurance policies.
If you want to know more about auto insurance, we can help. Contact Panorama Insurance Agency Inc and let us answer your insurance questions and concerns.