AUTO INSURANCE 101
The right auto insurance policy can help get you back on the road quickly if your car is damaged or destroyed by accident, fire, theft, or other covered incidents.
Your policy may also provide protection against medical and legal expenses resulting from injury, loss of life, or property damage caused by an accident involving your vehicle.
An auto insurance policy is a contract between you and an insurance company. You pay a premium, and in exchange, the insurance company promises to pay for specific car-related financial losses during the term of the policy. Work with us to determine the best coverage for you.
Auto insurance requirements vary by state. In some states, to drive you must carry:
• Liability coverage – to pay for losses you cause others, or:
• No-fault coverage – to pay you and your passengers for medical and related expenses caused by injuries from a car accident, regardless of who is at fault, or
• Both liability and no-fault coverage.
We provide auto insurance in Arizona and California and would be happy to help you ensure you have the right coverage for where you live.
Even in states where coverage isn’t required, drivers must, by law, be able to pay for losses they cause others. Having insurance is the simplest way for most people to comply. To finance a car, it is usually necessary to have insurance which covers damage to your vehicle.
Collision insurance coverage pays for damage caused to your vehicle in an automobile accident. Standard collision coverage will pay for any repairs up to the fair market value of your car. Collision coverage usually also comes with a deductible. It’s the amount of money you pay toward repairs before your collision coverage kicks in. The higher the deductible you’re willing to pay, the less the collision coverage will cost.
Comprehensive covers damage done to your car in some way other than a collision, such as if it were stolen or vandalized. Flood, hurricane, theft, windshield damage and fire are also events usually covered by comprehensive. Like collision, comprehensive will pay up to the fair market value of your car (less your insurance deductible). And although it’s not legally required by any state, you will probably need it if your car is financed.