STRAIGHT TO THE POINT: INSURANCE QUESTIONS ANSWERED
IF MY FRIEND BORROWS MY CAR AND CRASHES IT, WHOSE INSURANCE PAYS?
Yours does, because you own the car. Sorry.
WHAT ARE THE BEST WAYS TO SAVE MONEY ON CAR INSURANCE?
Shop around to compare car insurance rates and bundle policies.
WHAT IS “BUNDLING” OF INSURANCE?
It’s buying at least two policies ( home, auto, personal property) from the same company.
HOW MUCH WILL MY RATES GO UP IF I CAUSE A CAR ACCIDENT?
About $ 800 in California, for example. Increases vary by state.
I WAS REAR- ENDED. THE OTHER GUY SAYS I SLAMMED ON MY BRAKES AND CAUSED THE ACCIDENT. WHOSE FAULT IS IT?
The other person’s fault. Make a claim against his automobile insurance.
WHO ARE THE BEST CAR INSURANCE COMPANIES?
Amica, Erie and Auto- Owners, according to NerdWallet’s rankings.
WHO HAS THE CHEAPEST AUTO INSURANCE?
Often Geico, among the largest insurers. But shop around.
WHEN DO TEEN DRIVERS HAVE TO BE ADDED TO INSURANCE?
Typically, when the teen gets a driver’s license. Save up!
WHAT IS “FULL COVERAGE CAR INSURANCE”?
It generally means you have liability, comprehensive and collision coverage.
IS IT CHEAPER TO ADD TEEN DRIVERS TO A PARENT’S AUTO INSURANCE OR GET THEM THEIR OWN POLICY?
It’s usually cheaper to put them on a parent’s policy.
CAN I BUY INSURANCE IN ONE STATE EVEN THOUGH I LIVE IN ANOTHER?
No. Buy insurance where the car is “garaged.”
DO I NEED A DRIVER’S LICENSE IN ORDER TO BUY CAR INSURANCE?
Yes. If the license is suspended, you’ll probably be dropped.
CAN MY AUTO INSURER CANCEL ME BEFORE THE END OF THE POLICY?
Only for certain reasons, like not paying premiums or fraud.
IF I HAVE FULL COVERAGE CAR INSURANCE AND RENT A CAR, DO I STILL NEED RENTAL CAR INSURANCE?
No. Your personal automobile insurance usually extends to a rental.
CAN MY AUTO INSURER MAKE ME USE A CERTAIN BODY SHOP?
That is barred by most states under “anti- steering” laws.
WHERE CAN I MAKE A COMPLAINT ABOUT MY AUTO INSURANCE COMPANY?
Your state department of insurance is the right place.