Things around the country are looking better on the horizon as the COVID-19 pandemic finally has a vaccine. Restaurants, workplaces, and other companies will return to business as usual, which means greater mobility. There will be more cars back on the road, and for people who are driving, that means paying insurance.
Throughout the USA, most states need some kind of insurance to be in place before people can legally drive. But there’s a lot of choices when it comes to insurance. You have different companies to choose from and even different types of car insurance to choose from. Here are four things you should know about your car insurance if you’re in the market in California.
Standard car insurance is there to help you if you get into an accident, but that doesn’t cover every single scenario of an accident. There are some instances where car insurance won’t step in to help, such as if you are at fault in an accident. Only 12 states in the country are “no-fault” states where insurance pays out regardless of who is at fault. However, in other states, “at fault” or “collision” insurance may be required if you want the security of knowing that insurance money will always be there.
There is also “comprehensive” insurance covering non-car-accident-related damage such as vandalism or storm damage.
A vast range of different factors determines monthly insurance rates, so simply assuming a more expensive vehicle will always have higher rates isn’t always true. An exotic sports car designed to break speed limits and is a more likely target for theft might cost more than a high-end SUV.
However, that same high-end SUV, designed for safety, might cost less than a 30-year-old used car in dire need of repair and may not even have modern safeguards like airbags.
One of the most significant determining factors of your premiums is yourself and the kind of life you live. Among the different variables that are considered are:
Geography: People living in cities will face higher premiums than people in rural areas with less traffic.
Credit Score: Statistically, people with better credit tend to be more responsible and thus get into fewer accidents.
Personal Characteristics: Your age, gender, and marital status tend to impact your lifestyle. For example, a young, single male is more likely to get into accidents than an older, married woman with children.
Once the premium has been determined, this isn’t the end of it. There are ways for you to lower your premium, such as improving your credit score, getting safety devices installed in your car, such as dashboard cameras, or volunteering to raise the deductible on your insurance policy.
Anything you do that shows you are reducing your risk of getting into an accident will be taken into account in your premiums and result in an adjustment.
If you’d like to find car insurance for yourself, we can help. Contact Panorama. We can get you the coverage you need.