When you first start driving, you main focus is likely more on your new car than on protecting your vehicle. Your initial car insurance policy is the most important part of owning your new car, instead of viewing it as an expense, think of it as an investment into the future of your vehicle.
As a first time car owner, finding a policy to fit your needs is often complicated and confusing. The majority of new policy holders don’t even take the time to use free online auto insurance quotes or other comparison tools. This often results in a policy that doesn’t have enough coverage and cost more than necessary.
Do You Really Need Car Insurance?
New drivers often wonder about the need for a car insurance policy. The simple answer is that it’s the law and it reduces the financial risk for both you and other drivers. In the even of an accident, insurance coverage helps pay for any damage to either car as well as for injuries suffered by the passengers.
If you don’t have insurance while you drive, you can face heavy fines regardless of the state you are in, in some cases, you can even lose your license.
All About Your New Policy
Understanding how a car insurance policy works is the first step in getting covered.
Every state has different minimums, so it’s important to check with your local DMV prior to using any type of free online auto insurance tool or purchasing your coverage. Too little coverage is viewed the same as not having coverage and having to much coverage, while not detrimental, will cost you more than you really need to spend.
When you have a firm understanding of the specific insurance needs of your state, you can then move on to searching for a great first policy to fit your needs.
New Doesn’t Have to be Costly
It’s common for new drivers to overpay for their auto insurance policies. New drivers do have to pay slightly higher premiums due to a lack of driving record, but you are still able to find easily affordable coverage that can fit with just about any budget. Here are a few pointers on finding the perfect initial policy to fit your lifestyle;
- Make use of the many free online auto insurance quotes sites on the internet
- Speak with a local car insurance agent to compare rate
- Know what type of discounts apply to you, students and homeowners often save more than average drivers
- Keep a list of the state coverage requirements you don’t over or under insure
- Keep in mind, the larger your deductable, the lower your monthly rate
- Compare several companies’ rates and offers before making a choice
Buying car insurance for the first time is just another part of your new car experience. Don’t let the process overwhelm or confuse you. If you need help, seek advice from a trusted source or directly from the DMV in your state.