AUTO INSURANCE IS A TRAP FOR THE NOVICE

Getting good auto insurance isn’t a case of luck. It’s usually a result of good education, of understanding auto insurance before you jump in.

So make sure you do your homework. Learn as much as you can about auto insurance. Understand that getting auto insurance is both a choice and a necessity. That you are usually required by law to have a certain type and level of auto insurance cover, but that it is usually prudent to have more than the mandated minimum.

Auto insurance requirements vary from state to state so it’s almost impossible to advise except on a state to state basis. However as a general principle the government requires you to have auto insurance that covers injury to people in car accidents, regardless of fault (but not always!)

On top of this you may be required to have auto insurance that covers damage to other peoples vehicles.

In both cases you need to find out the requirements for your state or country and what the minimum amounts are for each of these liabilities. And don’t just buy the minumum auto insurance. Consider whether or not you need more than the minimum.

Never buy auto insurance before making sure that you know EXACTLY what your state’s auto insurance requirements are, what the amounts are, and whether it is prudent to insure for more than the minimum. It usually is.

BUT WAIT, THERE’S MORE TO AUTO INSURANCE!

Your state may also require some more auto insurance. Uninsured or underinsured driver cover. These cover you against other drivers with no or too little auto insurance. This type of auto insurance is very important and you need to consider very carefully whether you ought include it, even if not required. It is very important.

AND EVEN MORE?

That’s just the mandated minimums, and doesn’t cover the damage to your car. Unless you have a car that won’t cost a lot to replace if necessary, auto insurance that covers repairs to your car is also a good idea.

AUTO INSURANCE IS A TRAP FOR THE NOVICE

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