The number of car accidents is constantly growing. Statistics tell us that 1.3 million people die in road crashes each year, while 20-50 million people get injured. Unfortunately, these figures keep growing and it seems that we cannot do anything about it. But, it's not true. We can become more responsible drivers. This means taking all distractions into consideration, respecting the traffic rules, and constantly paying attention to the people around us. Still, guilty or not, we get involved in road accidents. And, no matter how minor the damage may seem at first, its costs may be devastating for you. To prevent this from happening, you need to choose the right car insurance policy. When choosing your car insurance policy, you need to make decisions based on your needs. One of the most common mistakes drivers make is getting carried away and choosing a bunch of additional coverage options they don't really need. And, this approach only means wasting your money for no reason. First, look for reliable companies. Find at least three different car insurance policy providers and compare them. Ask your friends and family about their car insurance providers. Search for them online and see what their clients have to say about them. Also, see how the Better Business Bureau rates them. How accessible are they? How good are their customer services? The truth is- some agencies do better with handling customer complaints, problems, and payments. Make sure you compare auto insurance quotes. Remember that the cheapest option is not necessarily the best one. Namely, investing in a more expensive policy is an investment in the long-run. You don't want to pay a large sum of money after the accident just because you've exceeded your car insurance coverage. Finally, choose the agency that offers the best deals. Do they offer multi-line coverage? What types of discounts do they give? Do they have any good-driver rewards programs? These are all factors that should influence your decision-making process. Types of car insurance policies vary, based on your needs. So, before you buy a policy, you should to set your goals clearly and do a thorough research. Here are a few most common forms of car insurance coverage: Liability insurance is legal requirement most countries. There are two basic types of this insurance- Bodily Injury and Personal Property. So, if you are legally responsible for an accident, this form of insurance will help you cover a driver's medical bills and repairing property damage. Collision insurance covers the costs of the repairs to your car after the accident. If your vehicle is totaled, then collision insurance will repay its value. Comprehensive insurance covers the costs that are not necessarily related to a car accident. It pays for the damages caused by vandalism, theft, floods, etc. Personal Injury Protection helps you pay for a wide array of medical costs, including rehabilitation expenses, work loss, or even funeral costs. Uninsured Motorist Coverage protects you against uninsured drivers. So, if anyone in your car is hurt or your car gets damaged in an accident caused by an uninsured driver, this insurance policy will cover your expenses.
- Your driving record. If you violate the traffic rules, the costs of your premiums will grow. On the other hand, a spotless and accident-free record will help you get lower premiums.
- The type and the price of the car. Some cars are seen as a greater risk and, as such, require more expensive insurance coverage. Also, the more expensive the car, the higher its insurance costs are.
- The age of a driver. The majority of countries charge higher rates for teenagers.
- Your location. The costs of car insurance policies are significantly lower in low-crime areas, compared to those with a higher crime rate.
- Your credit score impacts the costs of your policy. Car insurance agencies see those clients with low credit scores as a greater risk.