Holicent
VIP Contributor
The cost of coverage for auto insurance is determined by the frequency and expense of probable accidents, thefts, and other losses. As with any good or service, prices differ from business to business. Your auto insurance premium is determined by a number of factors. First, the type of coverage you choose will affect your costs. For example, liability coverage protects you against bodily injury or property damage that you caused to someone else's vehicle. Collision coverage pays for repairs to your own vehicle in the event of an accident with another vehicle. Comprehensive coverage provides benefits if your car is stolen or damaged in a collision without collision or comprehensive coverage. Uninsured/underinsured motorist coverage covers injuries sustained by people who have no insurance or enough insurance to pay their share of medical bills when they are involved in an accident with an uninsured driver at fault (this can include hit-and-runs).
Your state may also require you to carry uninsured/underinsured motorists coverage as part of its minimum requirements for auto insurance policies. And finally, where you live will affect what kind of policy you need — if you live in a state that requires drivers to carry a minimum amount of liability coverage (typically ranging from $15,000-$20,000), then creating an account with one company won't be enough.
Your state may also require you to carry uninsured/underinsured motorists coverage as part of its minimum requirements for auto insurance policies. And finally, where you live will affect what kind of policy you need — if you live in a state that requires drivers to carry a minimum amount of liability coverage (typically ranging from $15,000-$20,000), then creating an account with one company won't be enough.
