Auto insurance helps keep you safe while on the road. However, searching for auto insurance coverage can be complex. There are a lot of factors that go into finding the right policy. This guide will help you find the best auto insurance policy in California.
Driving can be unpredictable at times due to ever-changing road conditions and the behavior of other drivers. You must be alert at all times because an accident can happen at any moment. Auto insurance includes collision coverage that protects you if your vehicle hits another vehicle or an object. You can also opt for more comprehensive coverage. Comprehensive coverage protects your vehicle if it is vandalized or suffers damage from a flying object or inclement weather, as well as potential theft.
Why Do You Need Auto Insurance?
Auto insurance provides multiple benefits to help you live a more comfortable lifestyle. For starters, driving without insurance is illegal. Driving without insurance can lead to you losing your license and possibly having your vehicle impounded.
Auto insurance helps you protect your assets and maintain a sense of financial security. If you are involved in a serious collision, you may be responsible for thousands of dollars worth of damage if you don’t have insurance. Perhaps strong winds uproot a large tree and that lands on your vehicle. Without auto insurance, you could face financial strain as you figure out how to pay for the damages.
If you are held liable for an accident, you are responsible for the injured party’s medical bills. If they suffer a severe injury, your assets may be at risk. Auto insurance gives you a safety net even when you are faced with horrible scenarios.
Auto Insurance Requirements in California
As you look for the best auto insurance policy coverage in California, make sure that you are aware of the minimum requirements in the state. Stop by the Department of Motor Vehicles (DMV) or check online to see a list of minimum coverage required by the state which includes:
- Bodily injury liability coverage
- Property damage liability coverage
- Uninsured motorist bodily injury coverage
- Uninsured motorist property damage coverage
Auto Insurance Discounts in California
Before you choose an auto insurance policy in California, make sure that you research discounts.
- If you have a history of safe driving, you may qualify for a discount that can save you 5-10 percent on your annual premium.
- If you only drive your vehicle on limited occasions, you may qualify for a low mileage discount or a pay-as-you-go coverage.
- You may also qualify for a discount if you are a homeowner or a student with a strong academic record.
- If you are registered with a notable automobile association, you can automatically qualify for special discounts.
- Contact the DMV to see if you qualify for California’s Low-Cost Auto Insurance Program. To be eligible, you need to have a vehicle with a cash value under $25,000 and an income below 250 percent of the poverty level.
Things to Consider When Searching for the Best Auto Insurance Policy in California
Consider the age of your vehicle. If you are driving an older model vehicle, it may not benefit you to get some types of coverage. Your policy needs will be different compared to someone who has a brand-new car. You must consider the financial aspect as well. If you’re trying to stay on a budget, that may impact the type of coverage that you can afford.
Remember that your deductible is a big part of your auto insurance policy. You are required to pay your deductible before your insurance coverage handles the situation. The higher your deductible is, the lower your monthly premium. Look into third-party coverage. Third-party coverage provides benefits for third-party damages. In some cases, a third-party plan is more beneficial than a comprehensive plan.
Research the renewal and claims process. Thoroughly check your policy’s claims process to ensure that it meets your needs. Look over the renewal process. You should be able to renew your policy without any difficulty.
Another significant aspect of choosing the best auto insurance policy coverage is finding the top riders. Insurance riders are extra coverage that you can add to your policy for added customization.
- Waiver of Depreciation: This coverage outlines that no depreciation will be considered regarding your new vehicle for a specified period.
- Rental Car Service: This coverage mandates that you will have access to the use of a rental car while the damages to your vehicle are repaired.
- Roadside Assistance: This coverage ensures that you’ll receive urgent service if you are on the road and your vehicle is in trouble. You can receive emergency towing service, have your battery receive a jump start, or have your gas tank filled up.
- Loss of Valuables: This coverage gives you the ability to file a claim if some expensive valuables such as a stereo system.