Today we will discuss about how much the car or auto insurance is important. Earning the privilege to drive a car is an exciting step in becoming an adult. However, as with many privileges, this comes with great responsibilities. When you drive a car you are responsible for any accidents you may cause. State law requires that you provide a proof of financial responsibility whenever an accident occurs. The best proof is a current insurance policy.
The good news is your family has a personal auto insurance policy as long as you live at home that policy can protect you too. Insurance may seem expensive but driving without it can be even more expensive. If an accident occurs you must pay for any and all damage you caused.
How does the personal auto insurance policy work?
It is a legal contract in which the insurance company makes you a promise and you pay them a premium the promise is explained in the policy. The same policy explains that you and the insurance company are to work together after an accident. They are responsible for certain duties but you also have very important responsibilities. A personal auto policy for individuals or families provides four very important coverages other coverages may also be purchased. But this presentation will discuss these four coverages every person should carry.
The first type of coverage is for your legal liability when other people or their properties are damaged by your driving. The responsibility for an accident is based on state law. A judge and jury may be involved when drivers can’t agree as to who was responsible for the accident or how serious the injuries were in many situations. The insurance company will work with the injured individuals on your behalf to reach a fair financial settlement. So that you never go to court simple mistakes are inattention and result in tremendous damage. Considers how you would feel if you injured or killed someone.
The second type of coverage is for the physical damage to your car this coverage is not required by state law. However, if you need a bank or finance company help you purchase a car. They will require you to purchase this coverage in order to protect their investment. The first type of physical damage coverage is called collision. Collision pays for damage to your car. When it hits something it also pays if the damage occurs. When your car flips over physical damage coverage is called comprehensive. It pays to replace or repair your car if it is stolen or damaged by hail fire a falling tree lightning or something else as long as it’s not caused by a collision.
The third type of coverage is called medical payments. This is not required by state law but most policies provided. Minor medical expenses incurred by you and your passengers following an accident are covered it even pays for your medical costs if you are injured in someone else’s car or when you are walking a car hits you.
The fourth type of coverage is actually two separate coverages that work together. They are called uninsured motorist coverage and underinsured motorist coverage. These provide coverages for your injuries and damages caused by drivers. Who either carry no insurance or carry limits too low to pay for your injuries. If the premium for the insurance is not paid when coverage will expire. A responsible driver must remember to pay a premium. When doing an insurance policy is not a license to drive recklessly. It is designed to protect against unforeseen accidents. A driver must be aware of his or her responsibilities to other people sharing the road.
Why is a Car insurance very Important?
A car is a dangerous weapon that can cause serious injury or damage not a plaything to impress friends. However, accidents will happen this is when you find out how well the insurance company honors its promise to you. It is important to remember that you also have responsibilities when an accident occurs. The insurance company will provide evidence of insurance. Your first responsibility is to keep that evidence of insurance in your car at all times. Following the accident first, call 911 next call your parents then call your insurance company.
So they can begin to fulfill their promise to you be careful about making any statements in person via text tweets or on your Facebook account. Wait as the police perform their investigation and give them your full cooperation listen carefully as the police ask questions. If you are unsure of the answer doesn’t guess police officers one accurate accounting of the accident help them do their job by only providing facts assumptions guesses and unnecessary information could hinder their investigation. Asking to delay answering questions until your parents arrive is not an unreasonable request.
Your insurance company representative will talk with you the police officers and the injured parties. They will work with you on your physical damage and medical payments claim and work directly with the injured parties on their liability claims. Your insurance policies will explain your exact responsibilities and also what you can expect from your insurance company. Insurance is sold by agents, like the one who provided this article to you they want to help you please contact them with any questions you have thanks.