Auto Insurance Prices

Liability insurance is a must to have, even in the few states that don't require it. By paying relatively little now, you can prevent a possibly ruinous future expense. If you cause an accident, bodily liability covers the medical treatment for the other driver. It also can handle your legal costs if sued. When checking auto insurance prices, it's recommended you ask for at least $100,000 per person of this protection. Property liability will pay for the damage you cause to the other driver's car or other property. And the minimum suggested amount is $50,000 worth of coverage.

Some drivers who cause accidents have inadequate or no insurance and to protect against them, you need uninsured or underinsured driver coverage. This pays for your bills that the other driver's insurance doesn't cover and adds relatively little to your auto insurance prices. It's recommended that you get at least $50,000 coverage.

With collision and comprehensive coverage, your auto insurance prices are direct relation to the size of your deductible. Because major accidents average no more than once in ten years, it's financially sound to have a large deductible. So get the maximum you can afford, but at least $500.

One type of coverage that can often be eliminated is medical protection. A sound health plan usually provides similar coverage. So if this is your situation, you can keep your auto insurance prices down by dropping this coverage. The only exceptions to this are if the coverage is required by law or you want to keep some protection to provide for any of your passengers' accident injuries.